The highly viscous pension fund assets trillion match has firmly settled in the N13trn bracket as at 30 September 2021, this is contained in Third Quarter Report in the National Insurance Commission website.
The statistics highlight the portfolio distribution of N9.14trn in RSA active funds (RSA funds I, II, III, and VI); N1.05trn in RSA retiree fund; N1.48trn in CPFAs; N1.31trn in approved existing schemes (AES) funds and N7.80bn for RSA fund VI, active and retiree.
PenCom stats showed that pension funds assets invested in federal government securities accounted for 63.25% of total assets. The composition of investments in FGN securities were as follows: FGN bonds 92.20%; treasury bills 3.45%; and agency bonds, sukuk and green bonds accounted for 1.29%.
The value of increase in the assets was 2.72% translating to N343.99bn to close at N13trn, the pension net asset value as at the end of Q2 (June 2021) was N12.66trn. PenCom report noted the growth in Q3 2021 was slightly higher than the growth of N317bn (2.27%) recorded in Q2 2021. It was noted that inflows of N7.80bn were observed in fund IV (ethical fund), which commenced in Q3 2021. PenCom ranking by size of contribution during Q3 indicated that top 5 contributed N127.04bn (65.12%) stretching it to top 10 came to N163.15bn (83.63%), however, bottom 5 accounted for N7.76bn (3.98%)while bottom 10 contributed N23.37bn (11.98% the
Also the value of investment in quoted domestic ordinary shares stood at N873.49bn (6.72% of total assets under management), indicating an increase of N30.29bn (3.59%) compared to the N843.29bn invested in the asset class as at 30 September 2021. The value of investments in domestic quoted equities increased primarily due to the appreciation in the prices of some stocks during the reporting period, besides, the Nigeria Exchange pension (NSE-PI) further appreciated by 6.10% in Q3 2021 after an 8.90% appreciation in Q2 2021.
On investment in FGN securities the value decreased by N252.24bn (2.98%) to N8.22trn as at 30 September 2021 from N8.47trn as at 30 June 2021. The report stated the value of investments in FGN securities was majorly due to matured investments in treasury bills deployed to other asset classes during the quarter.