In Nigeria’s ever-shifting financial landscape—where inflation bites, interest rates fluctuate, and the naira often seems to be fighting its own battles—investors are looking for more than just survival. They’re looking for stability, a little peace of mind, and ideally, returns that outpace inflation. That’s where money market mutual funds (MMMFs) have stepped in to prove their worth.
As of the week ended August 8, 2025, the industry’s total net asset value (NAV) climbed to ₦3.59 trillion, up from ₦3.52 trillion just a week earlier. That’s no small feat. Across 41 licensed fund managers, investors are increasingly parking their cash in these short-term debt funds for one main reason: they deliver liquidity while still preserving capital. And in an economy where traditional savings accounts barely scratch the surface, that combination is powerful.
But here’s the catch—while the whole sector is growing, some funds are clearly pulling ahead of the pack. Five of them, in fact, stand out with yields (YTD) so competitive that investors can realistically target up to ₦5 million annually in passive income, provided they commit the right level of capital.
So, which funds are worth watching right now? Let’s walk through the top five.
5. ARM Money Market Fund
- Yield (YTD): 20.89%
- NAV: ₦247.22 billion
- Unitholders: 73,084
- Earning Potential: ₦23.9 million required to earn ₦5 million annually
ARM’s fund is the heavyweight of the bunch—₦247.22 billion under management and more than 73,000 unitholders. That’s not just impressive scale, that’s investor trust written in big bold letters.
Now, at 20.89% YTD, its yield is slightly lower than its rivals, but scale brings stability. And for investors, sometimes steady wins the race. This fund is especially popular with retail investors, largely because it has one of the lowest entry thresholds in the market—just ₦1,000. Add quarterly interest payments to that, and you’ve got something that works well for salary earners who want predictable inflows, or retirees looking for a cushion.
It may not top the yield charts, but ARM Money Market Fund is like the reliable uncle at family gatherings: always there, dependable, and rarely surprising.
4. Zedcrest Money Market Fund
- Yield (YTD): 21.62%
- NAV: ₦6.43 billion
- Unitholders: 4,111
- Earning Potential: ₦23.1 million required to earn ₦5 million annually
Zedcrest is one of those funds that seems to always punch above its weight. At 21.62% YTD, it offers a blend of attractive returns without veering into the riskier end of the spectrum. Its size—₦6.43 billion—is big enough to give it credibility but small enough to allow flexibility in asset allocation.
Here’s what’s interesting: it’s accessible to both retail investors (again, minimum entry is ₦1,000) and institutional players who are chasing steady returns. With over 4,000 unitholders, Zedcrest has built a following on discipline, sticking with naira-denominated debt instruments and commercial papers.
Think of it this way: Zedcrest doesn’t necessarily shout for attention, but when you look closely at its track record, you see why investors keep coming back.
3. Meristem Money Market Fund
- Yield (YTD): 22.09%
- NAV: ₦50.67 billion
- Unitholders: 6,023
- Earning Potential: ₦22.65 million required to earn ₦5 million annually
Meristem has done something many funds struggle with: it has grown its asset base to over ₦50 billion without diluting returns. At 22.09% YTD, it’s comfortably one of the highest-yielding large funds in Nigeria. That’s a tough balance—big size usually means lower flexibility—but Meristem has consistently managed to find opportunities in Treasury Bills and top-tier bank placements.
For investors, the takeaway is simple: Meristem offers scale, credibility, and attractive returns in one package. And in a space where perception often dictates flows, this mix has helped it maintain a loyal following of more than 6,000 investors.
2. Page Money Market Fund
- Yield (YTD): 22.14%
- NAV: ₦938.9 million
- Unitholders: 126
- Earning Potential: ₦22.6 million required to earn ₦5 million annually
Page Asset Management is tiny compared to its peers, with less than ₦1 billion in NAV. But don’t let size fool you. The fund posted one of the sharpest jumps in yield in just a week—from 20.82% to 22.14%. That’s agility in action.
Its investor base is equally small, with just 126 unitholders. On one hand, that might suggest limited visibility. On the other, it gives the managers freedom to pivot quickly, seizing opportunities in the market before the bigger funds can react.
High-net-worth individuals (HNWIs) often favor funds like this because they offer aggressive returns without running wild risks. Page Money Market Fund may not yet be a household name, but it’s playing smart in the shadows.
1. DLM Money Market Fund
- Yield (YTD): 22.20%
- NAV: ₦65.82 million
- Unitholders: 23
- Earning Potential: ₦22.5 million required to earn ₦5 million annually
Now, here’s where things get fascinating. DLM Asset Management has the smallest NAV of them all—just ₦65.82 million—and only 23 investors. Yet, it tops the yield chart at 22.20% YTD. That’s a leap from 18.90% just a week earlier.
How do they pull it off? By keeping the structure tight. DLM invests primarily in government securities, mixes in some bank placements and commercial papers, and holds a modest cash buffer. It’s conservative, yes, but clearly effective.
For those who prefer a boutique-style approach to fund management, DLM is an attractive option. You get the sense they treat every naira with extra care, and in return, investors reap higher yields.
So, What Should Investors Really Take Away?
Money market funds used to be seen as conservative vehicles, not much more exciting than savings accounts. That perception is changing fast. In 2025, they’ve evolved into proper wealth management tools, helping investors not only preserve value but also generate real, inflation-beating income.
For the Nigerian investor with ₦5 million, the math is clear. With the right allocation, you can target ₦5 million in annual passive income, a figure that just a few years ago felt like a stretch.
But here’s the part often overlooked: it’s not just about yield. Liquidity matters. Credibility matters. Investor trust matters. A fund with a slightly lower return but a larger, more stable base (like ARM or Meristem) might make more sense for someone who values peace of mind. On the flip side, investors willing to take on boutique funds like DLM or Page could squeeze out higher yields—but with smaller safety nets.
