NNPC report

Pension Assets Hit N11.57 trllion

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The contributory pension scheme CPS, as at September 30, 2020 has pooled total pension assets of N11.57 trllion with N2.01 trillion invested in local money market, the National Pension Commission (PenCom), periodic release stated.

According to the release from PenCom, the summary of pension funds portfolio for the period up and until September 30, 2020, showed that N1.75 tr of the total sum was invested in bank placements while N262.01bn was in commercial papers.

Further information from statement on the Commission website revealed an increase in Retirement Savings Account (RSA) registration within the period to 9.15 million.

PenCom further breakdown showed that N7.55 trillion of the pension assets was invested in federal government securities, while N6.64 tr was invested in bonds; N780.57 bn was invested in treasury bills; N10.61 bn in agencies bonds; N107.58 bn in sukuk and N13.05 bn in green bonds.

The investment of pension funds also made a landing at state government securities with an uptick of N150.33 bn; the investment trail continued with N585.77 bn in domestic ordinary shares; N76.45 bn in foreign ordinary shares; N17.64 bn in foreign money market securities and N54.57 bn in infrastructure.

In another development, the Federal government has improved its accrued rights obligation by the release of N11.82tr for retirees of treasury funded ministries, departments and agencies under the contributory pension scheme.

The head of corporate communications PenCom, Peter Aghahowa, who disclosed this said, “Accrued rights represent benefits for employees of treasury funded MDA’s who worked up to June 2004, when the Pension Reform Act was introduced”.

Aghahowa commended the intervention saying, “The commission appreciates the effort of the Federal government at ensuring that the accrued rights arrears are cleared.”