By Rosemary Iwunze
At the backdrop ofexchange rate instability and Naira depreciation,Closed Pension Fund Administrators, CPFAs, affiliated to international oil companies are investingmore of their pension fund assets on foreign money market instruments, apparently for safety.
The National Pension Commission, PenCom, in its unaudited report on pension funds industry portfolio for the period ended May 31, 2024 indicated that the CPFAs invested N107.1 billion during the month, up 10.2 percent from N97.2 billion recorded in the preceding month of April 2024.
The CPFAs, according to the PenCom report, also increased their stake in foreign ordinary shares by 9.3 percent to N268.7 billion in May from N245.9 billion in April.
Meanwhile, total pension fund assets increased by 2.02 per cent to N20.2 trillion in May 2024 from N19.8 trillion recorded in April.
