The National Pension Commission ( PenCom) has disclosed that the worth of pension assets has increased from N7.44 trillion in January 2019 to N9.33 trillion as at the end of June 2019.
Speaking at a one-day workshop in Port Harcourt, Rivers State, the commission’s Acting Director General, Aisha Dahir-Umar, attributed the rise to the support from the organised private sector (OPS) and labour.
Dahir-Umar, who was represented at the event by Salihu Bwala, explained that PenCom was able to recover N16 billion unremitted pension contributions from various employers of labour in the last seven years.
“The pension industry is one of the fastest growing industry in the country with the support of the OPS and labour. The contributory pension scheme plan currently has over N9 trillion pension assets. This feat could not have been achieved without the support of the OPS,” Dahir-Umar said.
Breakdown: According to the commission, Federal Government’s securities took a lion-share of the investment as it received well over N6.51 trillion, representing 72.9 per cent of the total assets. Specifically, the Federal Government’s bond got N 4,458,806.38 of the funds, representing 49.37 per cent of the total assets; while N1.94 trillion was invested in treasury bills (21.44 per cent); N11.96 billion in Agency Bonds (NMRC & FMBN), (0.13 per cent); N94.11 billion in Sukuk (1.04 per cent) and N8.51 billion in Green Bonds, (0.09 percent.).
The commission also said in line with the Multi-fund structure, Retirement Saving Account (RSA) Fund 1, witnessed N12.73 billion investment and RSA Fund 11, recorded N3.99 trillion investment, RSA Fund 111, saw N2.15 trillion investment while RSA Fund IV, recorded N732.13 billion investment.
Furthermore, the report showed that N596.61 billion, which was 6.54 percent of the funds, was invested in domestic ordinary shares; while N62.59 billion, amounting to 0.69 percent was invested in foreign ordinary shares.
Similarly, while N144.31 billion (1.60 per cent) was invested in state government’s securities; corporate bonds got N463.99 billion (5.4 percent); corporate infrastructure bonds, received N8.64 billion, (0.10 percent); corporate green bonds, N5.46 billion(0.06 percent); supra-national bonds got N5.37 billion (0.06 per cent); local money market, N874.39 billion, (9.68 percent) commercial papers, N64.46 billion (0.71 percent); banks – N809.94 billion (8.97 percent).
Others were REITS – N14.27 billion, (0.16 percent); Foreign Money Market Securities – N22.54 billion (0.25 percent); private equity fund -N32.34 billion, (0.36 per cent), Real Estate Properties- N231.37 billion (2.56 percent); infrastructure funds, N29.40 billion, (0.33 percent) and cash & other assets, N25.16 billion, (0.28 percent). (Nairametrics)
