The Pension Fund Administrators (PFAs) said N1.779 trillion of the total funds under the contributory pension scheme (CPS) has been invested into the money market instruments as of the end of March this year.
The National Pension Commission (PenCom) revealed this in its ‘unaudited report on the pension funds industry portfolio for the period ending on 31 March 2024.
According to the report, N1.393 trillion was invested in fixed deposit and bank acceptance, N299 billion was invested in commercial papers (CP) and N86.169 billion was invested in foreign money market instruments.
The report revealed that the rest of the funds were invested in domestic and foreign ordinary shares, federal government securities, corporate debt securities, and mutual funds.
Total funds under the CPs in the period under review stood at N19.669 trillion.
PenCom stated in its investment regulation guidelines that, the PFAs shall maintain a multi-fund structure as provided in its regulation to govern the investment of pension fund assets of RSA funds.
In addition to the requirements of other guidelines issued by the Commission on corporate governance, ethics and business practices, it added that each PFA would establish an Investment Strategy Committee as well as a Risk Management Committee in compliance with the Pension Reform Act 2014.
