Arab Finance: The Financial Regulatory Authority (FRA) has released its quarterly performance report on investment funds during the second quarter (Q2) of 2026, marking continued growth in assets under management (AUM), the number of funds, and the investor base.

In the recent report, the FRA reclassified investment funds by type and category in coordination with the Egyptian Investment Management Association (EIMA). It showed that the number of investment funds, including their various share classes, increased to 224 by the end of June 2026, following the launch of 15 new investment funds in recent months.

Net asset value (NAV) of investment funds amounted to EGP 470.9 billion at the end of June 2026, up 14.7% from EGP 410.69 billion at the end of March.

Assets denominated in Egyptian pounds totaled EGP 444.56 billion, while foreign currency-denominated assets amounted to the equivalent of EGP 26.41 billion.

Meanwhile, total AUM climbed by 13.96% to EGP 479 billion by the end of June from EGP 419.5 billion at the end of the first quarter (Q1) of 2026.

The number of investment fund units also hit a record high, surging by 40.16% quarter-on-quarter (QoQ) to 44.04 billion units from 31.42 billion units.

Individual investors accounted for the largest share of fund units, holding 32.9 billion units, equivalent to 74.7% of the total. Meanwhile, institutional investors held 10.72 billion units, representing 24.3%, while units retained by the founding entities equaled the remaining 1%.

Regarding investment performance, the report showed that sector funds posted the highest average return of 18.82% during Q2 2026, outperforming thematic funds, which focus on companies linked to themes such as information technology, fintech, and innovation, with an average return of 18.78%.

Index funds followed with an average return of 18.35%, ahead of equity funds at 17.45%, Islamic equity funds at 16.37%, and exchange-traded funds (ETFs) at 16.13% during the quarter.