The net assets of investment funds in Egypt exceeded EGP 500bn in the third quarter (Q3) of 2026, rising by 7.16% from the previous quarter, as the number of fund units expanded by more than 19%, according to the Financial Regulatory Authority (FRA).
The FRA, chaired by Islam Azzam, said in its quarterly report on investment fund performance that total net assets reached EGP 504.71bn in September, up from EGP 470.97bn in June, an increase of EGP 33.74bn.
The number of investment funds, including their various issuances, rose to 232 in September, compared with 224 in the second quarter, reflecting continued expansion in the range of investment products available in the market.
Azzam said the growth in investment funds and their net assets reflected the FRA’s ongoing efforts to establish a supportive legislative and regulatory environment and develop the infrastructure of non-banking financial activities.
He noted that investment products had become increasingly diverse, encompassing equity and money market funds, precious metals funds, private equity funds, index funds and real estate funds.
This diversity provides investors across different segments with additional savings and investment channels, while offering mechanisms to diversify risk and pursue returns, supporting financial and investment inclusion in Egypt, he added.
The report showed that Egyptian pound-denominated assets totalled EGP 470.10bn in September, while foreign currency-denominated assets had an equivalent value of approximately EGP 34.60bn, reflecting the continued diversification of investment fund portfolios.
Total assets under management also increased to approximately EGP 512.84bn in September, compared with EGP 478.10bn in June, representing quarterly growth of around 7.27%.
Individual investors hold nearly 80% of fund units
The number of investment fund units rose to 52.50 billion in September, up from 44.04 billion in June, an increase of approximately 19.21% over the quarter.
Individual investors continued to account for the largest share, holding 41.90 billion units, equivalent to 79.8% of the total.
Legal entities held 10.16 billion units, representing 19.4%, while units allocated to the founding entity on behalf of the fund accounted for the remaining 0.8%, or approximately 441.7 million units.
The figures indicate that individual investors remained the dominant participants in investment funds, accounting for nearly four-fifths of total units in the third quarter.
Private equity and index funds lead returns
Private equity funds recorded the highest average returns in the third quarter of 2026, at 15.24%, followed by index funds at 13.03%, according to the FRA report.
Sector funds, which concentrate their investments in a particular industry, ranked third with an average return of 12.23%, followed by precious metals funds at 8.23% and Islamic equity funds at 8.00%.
Transferable securities funds generated an average return of 6.76%, while thematic funds, which focus on selected companies in areas such as information technology, financial technology and innovation, recorded an average return of 5.68%.
Equity funds posted an average return of 5.55% over the quarter.
The FRA said the indicators reflected continued growth in investment funds and the expansion of investment products operating under its regulatory oversight.
The authority said it would continue working to deepen Egypt’s non-banking financial markets and provide diversified investment vehicles to meet the needs of different investor segments, supporting the development and attractiveness of the Egyptian capital market.
