Pension Fund Administrators (PFAs) invested N5.29 trillion out of the N7.52 trillion pension assets in Federal Government’s securities, as at the end of December 2017, the National Pension Commission (PenCom), has said.
There was a drop, as N6.28 trillion out of the N7.41 trillion was invested in Federal Government’s securities in November 2017. Figures obtained from PenCom stated that 70.42 per cent of the pension funds had been invested in the Federal Government of Nigeria’s securities.
Investments in FGN securities include: N4.04 trillion amounting to 53.81 per cent in Bonds; N1.18 trillion in Treasury Bills (15.68 per cent); N5.82 billion in Agency Bonds (NMRC & FMBN), (0.8 per cent); N56.56 billion in Sukku, (0.75 per cent) and Green bonds, N7.19 billion (0.10 per cent).
The figures revealed that N672.23 billion, which is 8.94 per cent of the funds, was invested in domestic ordinary shares; while N104.61 billion, amounting to 1.39 per cent in foreign ordinary shares.
Pension operators invested N152.21billion (2.03 per cent) in State Government’s Securities; Corporate Debt Securities got N261.49 billion (3.48 per cent); Supra-National Bonds got N11.43 billion (0.15 per cent); commercial papers, N55.93 billion( 0.47 per cent) and Banks, N626.30 billion (8.33 per cent).
Others are, Reits, N16.43 billion, (0.22 per cent) Foreign Money Market Securities, N35.39 billion, (0.11 per cent); private equity fund, N25.44 billion, (0.34 per cent), Real Estate Properties, N203.36 billion, (2.71 per cent); infrastructure funds, N6.87 billion, (0.09 per cent) and cash & other assets, N37.87 billion, (0.50 per cent).