Connect with us

Business

Pension managers raise securities market investment by N8.7bn, as PFA funds hit highest level

Published

on

Nigerian Pension Fund Administrators (PFAs) increased investment in the Nigerian stock market to N1 trillion in May, up from the N999 billion they closed April with. The investment value rose by N8.73 billion month-on-month.

The PFAs have invested N84.69 billion in the capital market year-to-date. This is an increment of 9.25% when compared to the N915.31 billion the pension managers held in the Nigerian bourse early January.

According to the pension funds industry unaudited report for May 2022, investment in the stock market grew alongside the total asset under management, which hit N14.19 trillion, its highest level.

This was thanks to the N133.76 billion recorded in May, not leaving out the year-to-date gain of N768.86 billion, as the pension market added 25,025 new RSA registrations, increasing the total industry figure to 9.67 million registrations last month.

Read also:Pension assets grow to N14.06trn as more Nigerians open accounts

Aside from the local bourse contributing to the growth of the value of investment made by the pension managers, corporate debt securities also lifted the total funds, although the growth was slowed by a dip in fixed deposit/bank acceptance and commercial paper issuances, and other market securities.

Investment in corporate debt securities, which consists of green bonds, infrastructure bonds and corporate bonds, rose to N1.19 trillion in May, that’s an increase of 2.1%, while investment in market securities dropped -2.98%, when the N2.25 trillion and N2.19 trillion recorded in April and May respectively are compared.

Meanwhile, the pension industry reported N8.81 trillion, out of the total assets under management, as investment in government securities, which rose by N245.45 billion in May.

Join the conversation

Opinions

Support Ripples Nigeria, hold up solutions journalism

Balanced, fearless journalism driven by data comes at huge financial costs.

As a media platform, we hold leadership accountable and will not trade the right to press freedom and free speech for a piece of cake.

If you like what we do, and are ready to uphold solutions journalism, kindly donate to the Ripples Nigeria cause.

Your support would help to ensure that citizens and institutions continue to have free access to credible and reliable information for societal development.

Donate Now

Click to comment

Leave a Reply

Your email address will not be published.

five × one =

Investigations