What is a Chama?
A chama is a group of individuals or legal persons whose objective is the pooling together of capital or other resources with the aim of using the collated resources for investment purposes. Chamas are popular in Kenya and come in many different shapes and sizes.Some are registered under the Societies Act, while others are not. The important thing is that all members of the chama have agreed to work together towards a common goal.
Chamas are usually bound together by a common factor, such as attending the same church or socializing together. This allows members to meet regularly and have a common goal. The focus of KAIG and this Handbook is those chamas that come together specifically for investment purposes.
By aggregating the funds of a large number of small investors into specific investments, an investment group gives individual investors access to a wider range of opportunities. This can be beneficial for investors, as they are able to save on costs since the investment group is able to gain economies of scale.
Download this handbook to read more about the benefits of chamas and all you need to know about chamas.
