FBN Money Market Fund

Home > Product Reviews > FBN Money Market Fund

FBN Money Market Fund Review

Explore the FBN Money Market fund and other investment products with Maxella

Consult Maxella

Pros and Cons

Investing in the FBN Money Market Fund has clear advantages and limitations:

Pros

High Yields: Stable returns of ~21–22% p.a., significantly above standard savings rates.

Low Minimum Investment: The minimum subscription is 1,000 units at the prevailing market price, starting from as little as N1,000, making it accessible to a wide range of investors.

High Liquidity: Redemptions often processed within 24–48 hours.

Low Entry Barrier: Start investing from as little as ₦5,000.

Cons

Limited Capital Growth: Not suitable for long-term wealth creation.

Yield Fluctuations: Returns are tied to changing money market rates.

Quarterly Distributions: Income is distributed quarterly, which may delay access to earnings.

Narrow Investment Scope: Focused only on short-term instruments.

Editor’s Take

The FBN Money Market Fund offers attractive yields and strong liquidity, making it a practical alternative to fixed deposits or traditional savings accounts. The fund invests in short-term, high-quality money market instruments to provide capital preservation and stable quarterly income.

The fund's AUM growth reflects steady investor confidence. Investors seeking long-term capital appreciation or more frequent income distributions may find its structure limiting, but for those prioritizing safety and consistent returns, it is a solid option.

How Does FBN Money Market Fund Compare to Other Products?

The FBN Money Market Fund holds its own against comparable offerings in the Nigerian market. Its gross yield of ~21–22% p.a. is competitive with leading money market funds, while its low minimum investment of ₦5,000 makes it more accessible than many alternatives.

One area where it differs from some peers is in its redemption timeline. While liquidity is generally high, redemptions require a formal request and the return of an electronic certificate, with processing taking up to 30 days.

How to Apply for FBN Money Market Fund

Below are the steps you can take to apply for the FBN Money Market Fund

Review the Details

Go through the product information on this page to confirm it matches your goals and budget.

Fill in Your Information

Complete a short form with your personal and banking details. It only takes a few minutes.

Verify Your Identity

You will be prompted to complete a quick KYC verification in line with CBN requirements.

Get Started

Once verified, transfer your funds securely and start earning. Most accounts are activated within 24 to 48 hours.

Rates & Fees

The figures below cover the key fees that may apply to this product; always factor them into your comparison while making a decision.

Fee Type	Amount / Range
Management Fee	Included in fund expenses (standard SEC-regulated range)
Minimum Initial Investment	₦5,000
Subsequent Investment	₦1,000 or more
Redemption Processing	Within 30 days of request
Income Distribution	Quarterly

Who Should Apply?

Savers Looking to Earn More:
Instead of leaving your money idle in a bank account, this fund helps it grow with better returns than typical savings accounts.
Short-Term Planners:
If you are saving for something soon, like rent, school fees, or a business expense, this is a safe place to park funds temporarily.
First-Time or Cautious Investors:
If you are new to investing or want to play it safe, this fund offers stability and peace of mind backed by a reputable institution.
Professionals with Idle Cash:
If you have spare funds sitting for a few months, this helps you make the most of that cash without locking it away in a fixed-term product.

Is FBN Money Market Fund Safe?

Yes. The FBN Money Market Fund is managed by First Asset Management, a SEC-licensed subsidiary of FBNQuest Merchant Bank and part of the First Bank Group, one of the most established financial services groups in sub-Saharan Africa. The fund manager holds an A+ rating from Agusto & Co.

The fund invests in government-backed securities and commercial papers from rated Nigerian banks, which limits exposure to credit risk. Capital preservation is a core objective of the fund's mandate.

Why Trust Maxella?

Not every investment product you come across is worth your time or your money, but you can trust the products reviewed on Maxella. Here's why:

SEC-Registered Funds Only

Every product listed is registered with Nigeria's Securities and Exchange Commission; no unregulated options

Fresh Performance Data

Yields, returns, and fund details are updated regularly so the numbers you see reflect current market reality.

Transparency

Where data is unavailable or unverified, we say so. You will not find estimates presented as facts here.

FAQs

We answered some questions, so you don't have to ask them

Is my money safe with First Asset Management?

Yes. First Asset Management is a SEC-licensed subsidiary of FBNQuest Merchant Bank, part of the First Bank Group, and is rated A+ by Agusto & Co. The fund invests only in government-backed securities and commercial papers from rated Nigerian banks.

How do I invest in the FBN Money Market Fund?

You can invest through the nairaCompare platform. Click the Invest button on this page to be redirected to the provider's site, which has detailed instructions on the fund's requirements and investment methods.

Can I withdraw anytime?

You can redeem your investment within thirty days after submitting your redemption request and returning your electronic certificate to the fund manager.

How much do I need to start?

The minimum initial investment is ₦5,000, with subsequent investments of ₦1,000 or more. This makes the fund accessible to a wide range of investors seeking higher returns than traditional savings accounts.

What is the maximum I can invest?

The maximum investment amount is N1,000,000,000, making the fund suitable for both individual and institutional investors.

Review Methodology

nairaCompare evaluates investment products based on:

Historical performance consistency
Fee structure transparency
Liquidity profile
Risk exposure
Fund manager credentials and regulatory standing
Accessibility and minimum investment requirements