A money market fund is one of the safest, most accessible investment products in Ghana. It pools your money with other investors and invests in short-term, low-risk instruments: Bank of Ghana Treasury Bills, overnight bank deposits, and short-dated government notes.

Why Choose a Money Market Fund?

  • Low risk: Capital is rarely at risk — NAV is designed to stay stable at ₵1.00 per unit.
  • Daily liquidity: Redeem your units within 24–48 hours (T+0 to T+1).
  • Above-savings returns: Current indicative rates of 22–25% p.a. vs. 10–14% on standard savings accounts.
  • SEC Ghana regulated: All funds held in trust, separate from the fund manager's own assets.

Step 1 — Choose a Fund

Ghana has several SEC-regulated money market funds. The three most popular are:

  • Databank Money Market Fund — Min. ₵100, 24.1% p.a. indicative, T+1 redemption
  • Ecobank Money Market Fund — Min. ₵50, 23.5% p.a. indicative, T+1 redemption
  • Absa Wealth Preservation Fund — Min. ₵500, 22.9% p.a. indicative, T+1 redemption

Step 2 — Gather Your Documents

  • Ghana Card (or passport)
  • Proof of address (utility bill within 3 months)
  • Active bank account details
  • Passport photograph (some managers may require this)

Step 3 — Apply

Visit the fund manager's office or apply online. Most fund managers now support digital onboarding via their website or mobile app (e.g., Ecobank allows full digital KYC via the Ecobank app).

Step 4 — Make Your Investment

Transfer your investment amount to the fund's designated collection account via bank transfer or mobile money. Always confirm the account number directly with the fund manager — never send money to an unverified account.

Step 5 — Receive Your Unit Confirmation

Units are typically allocated at the next business day's NAV. You will receive a unit statement confirming how many units you hold and their value. Your money starts earning returns from the allocation date.

How Returns Work

Money market funds declare income daily and reinvest it into the fund. Your number of units stays the same but the NAV per unit rises over time — this is how your returns accumulate. When you redeem, you sell your units at the current NAV and receive the proceeds in your bank account.

Tax Treatment

Income from money market funds is subject to a 8% withholding tax deducted at source. This is the final tax — you do not need to declare it separately in your income tax return.