CMA graduates Chumz App from Sandbox
By Jacktone Lawi, August 31, 2022
Capital Markets Authority (CMA) has announced the exit of Moneto Ventures Ltd from the Regulatory Sandbox following successful testing of its innovation Chumz App.
It has also concurrently approved the roll-out of the mobile application to the mass market.
Chumz App, built by Moneto Ventures Limited is a mobile application which functions as a collective investment scheme (CIS) intermediary service platform.
It enables investors to save and invest towards a specific goal with as low as Sh5.
The funds earmarked by clients towards a specified goal are held by a custodian bank licensed by the market regulator for safe-keeping and invested in a CIS registered by the Authority.
As such, investment decisions are undertaken by a licensed fund manager. Investors can withdraw their savings at any time, through their mobile phones.
Retail investors
“The innovation by Moneto Ventures Limited facilitates CMA’s mandate of promoting a high level of savings and investments from retail investors and enhances investments to support economic development’, said CMA Chief executive Wyckliffe Shamiah. He noted that the value of the Regulatory Sandbox was evident in providing a supportive regulatory environment for promising innovations to operate, subject to applicable restrictions on client access and investment size.
Moneto Ventures Limited was admitted to the Capital Markets Authority Regulatory Sandbox in May 2021 and became the sixth firm to exit after Pezesha Africa Limited, Genghis Capital Limited, Innova Limited, Central Depository and Settlement Corporation and Fourfront Management Limited.