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Pension Asset Hits N14.27tn as Number of Contributors Approaches 10m Mark

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National Pension Commission (PenCom) has said that the total pension assets in the country reached N14.27 trillion as at the first half of this year, representing a growth of approximately N843billion when compared with N13.88 trillion recorded at the end of March this year.

The fund, according to PenCom, were contributed by a total of 9, 795,957 contributors who registered into the contributory pension scheme as at the period under review.

Out of the above number of contributors, PenCom said a total of 27,157 contributors dumped their former fund managers and migrated to new pension fund managers between January and June 2022, bringing the total number of RSA transfers processed by the commission to 78,549 since the opening of the transfer window barely two years ago.

The transfer window is an initiative of the commission, which gives contributors opportunity to move from one pension fund administrator to another.

According to PenCom, pension activities recorded the highest quarterly movements of contributors in the first quarter of 2021, 20.1 per cent quarter-on-quarter, “an indication of increased competition in the industry.”

The commission said RSA registration grew by 2.8 per cent to stand at 9.79 million from 9.53 million recorded in December 2021, representing an increase of 266,830 new RSA registrations in six months.

Investment wise, the commission said the bulk of the assets were invested in federal government bonds.

“Pension Fund Assets were mainly invested in federal government securities, accounting for 61.26 per cent of total assets. The composition of investments in FGN Securities were as follows: FGN Bonds: 92.20 per cent, Treasury Bills: 3.45 per cent, and Agency Bonds, Sukuk and Green Bonds accounting for 1.29 per cent, ”PenCom stated.

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