Nigerian pension fund surges to N12.34tn, after two months negative returns | Ripples Nigeria
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Nigerian pension fund surges to N12.34tn, after two months negative returns

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Pension Administrators invest N4.22trn in FGN Bonds

After two consecutive months of losses, Nigeria’s total pension assets has increased by N92 billion to stand at N12.34 trillion in the month of March 2021.

This was contained in the Nigerian Pension Commission ‘Unaudited report on pension funds industry portfolio published on its website.

March pension fund figures is a growth of 0.81 percent from N12.24 trillion recorded in February 2021.

Moreso, March fund figure represents the return to growth after consecutive drop in January and February 2021.

Ripples Nigeria had reported that in February the fund dropped by N52 billion and 77 billion in January.

Read also: Nigerian govt promises to clear pension arrears by June

Breakdown of the portfolio of Pension Fund Administrators (PFAs) investment in March 2021 shows N8.5 trillion of the funds was in Federal Government’s securities. These are investments made into Bonds, Sukuk, green and Treasury bills.

Other investments were made to corporate debt securities worth N620.57 billion.

Corporate debts securities are investments in corporate bonds, corporate infrastructure bonds, corporate green bonds and supra-national bonds.

A total of N1.67 trillion of the pension fund was invested in local money market securities which comprises bank placements, commercial papers and foreign money market securities.

While, the amount invested by PFAs in mutual funds was a total of N147.4 billion.

This mutual funds comprises open/close-end funds, REITs, real estate properties, private equity funds, infrastructure funds, cash and other assets.

PenCom report also showed that the total Retired Savings Account (RSA) registered as at March has increased to 9,300,058 slightly higher than the 9,265,141 it was in February.

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