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Chuks Udo Okonta
Pension Fund Administrators (PFAs) are keenly investing parts of funds contributed by micro pension contributors, in two major investment portfolios – federal government securities and local money market securities to enable them effectively grow the funds.
Data obtained from the National Pension Commission (PenCom) revealed that pension operators invested N55.63 million in federal government securities and N107.13 million in local money market. The two portfolios over the years have being enjoying huge investments due their security and return on investment.
According to PenCom, micro pension contributors have also begun to reap from the investments made by their pension fund administrators.
The pension sector regulator noted that 17 contributors to the Micro Pension Plan (MPP) have withdrawal N4.38 million from their savings portion in the first quarter of 2021.
PenCom on withdrawals from the contingent portion of micro pension contributions, said, six Pension Fund Administrators processed and approved requests amounting to N4,375,646.34 from 17 MPP contributors during the period under review.
PenCom also noted that during the quarter 19 PFAs registered 3,292 contributors under the Micro Pension Plan, stressing that in the same vein, a total sum of N16,711,942.25 was remitted to the RSAs of 435 contributors during the period.
The pension sector regulator said 105 Micro Pension Participants, within the same period converted to the mandatory Contributory Pension Scheme (CPS) and the sum of N963,136.42 was transferred to their respective RSAs.