When it comes to investing, mutual funds are becoming a popular choice for both individual and institutional investors in Nigeria.
These funds pool money from various investors and invest in a diversified portfolio of securities, offering benefits such as professional management, diversification, and liquidity.
The performance and success of a mutual fund largely depend on the expertise of its asset managers. In Nigeria, the mutual fund landscape is getting more and more competitive, and various asset management companies strive to provide the best returns to their investors.
We take a closer look at the ranking of mutual fund asset managers in Nigeria based on their assets under management (AUM).
1. Stanbic IBTC Asset Management
Stanbic IBTC Asset Management claims the top spot with an impressive AUM of ₦841,281,787,374, accounting for 41.96% of the total mutual fund assets in Nigeria. Stanbic IBTC Asset Management is known for its wide range of mutual funds and investment solutions that cater to different risk appetites and financial goals.
2. FBNQuest Asset Management
Securing the second position is FBNQuest Asset Management, managing ₦319,400,443,583, which represents 15.93% of the total AUM. As a subsidiary of FBN Holdings, FBNQuest Asset Management has a strong presence in the Nigerian financial market and offers various mutual fund options to investors.
3. United Capital Asset Management
United Capital Asset Management ranks third with ₦284,765,078,027 AUM, constituting 14.20% of the total mutual fund assets in Nigeria. United Capital has a reputation for providing innovative investment solutions and managing various mutual funds tailored to meet different investment objectives.
4. Chapel Hill Denham Management
Chapel Hill Denham Management secures the fourth spot with ₦161,619,541,016 AUM, accounting for 8.06% of the total mutual fund assets. Known for its strong research-driven approach, Chapel Hill Denham offers a range of mutual fund products that attract investors seeking competitive returns.
5. ARM Investment Management
In the fifth position is ARM Investment Management, managing ₦101,115,342,091, which represents 5.04% of the total AUM. ARM Investment Management is a subsidiary of Asset & Resource Management Holding Company Limited (ARM), providing various mutual fund options to suit different risk profiles.
The top five asset management companies dominate the Nigerian mutual fund market, managing a significant portion of the total assets under management. However, it’s essential to recognize the efforts of other asset managers who play crucial roles in the industry. The next cohort of asset managers in the ranking are:
6. AXA Mansard Investments – ₦46,193,062,240 (2.30%)
7. Guaranty Trust Fund Managers – ₦44,995,683,550 (2.24%)
8. Quantum Zenith Asset Management & Investment – ₦32,653,188,238 (1.63%)
9. FSDH Asset Management – ₦21,677,262,725 (1.08%)
10. Lotus Capital – ₦20,887,793,849 (1.04%)
And the full ranking table of all mutual fund asset managers is as follows:
The Nigerian mutual fund industry continues to evolve, providing investors with a wide range of options to grow their wealth. As with any investment, investors should conduct thorough research and consider their risk tolerance and financial goals before investing in mutual funds.
Note: The data provided for the ranking is based on the information available as of 7 July 2023 and is subject to change with new developments in the mutual fund market.
Investors are advised to check for updated information before making any investment decisions.