Nigeria’s pension assets continued their upward trajectory in September 2025, rising to N26.09 trillion from N25.90 trillion in August, representing 0.75 per cent month-on-month and 23.44% year-on-year growth.
New data from the National Pension Commission (PenCom) also show contributor enrollment under the Contributory Pension Scheme (CPS) increased 0.42 per cent to 10.93 million, reflecting steady onboarding despite economic headwinds.
FGN Securities Still Dominate Portfolios
Government instruments remained the pension industry’s largest asset class, accounting for 60.35 per cent of total assets, though performance was mixed:
Declines:
- FGN Bonds (HTM): –3.37 per cent to N12.84 trillion
- Sukuk: –5.83 per cent
- Agency Bonds: –18.42 per cent
Gains:
- Treasury Bills: +2.50 per cent to N616.33 billion
- Green Bonds: +7.69 per cent to N13.46 billion
- State Government Securities: +1.33 per cent to N240.91 billion
Equities, Corporate Debt Post Modest Gains
Domestic equities rose 1.47 per cent to N3.66 trillion (14.03% of assets), while foreign equities were flat at N277.49 billion.
Corporate debt inched up 0.12% to N2.24 trillion, driven by:
- Corporate Bonds (HTM): +1.41 per cent to N1.41 trillion
- Corporate Bonds (AFS): –2.29 per cent to N785.39 billion
Corporate debt now accounts for 8.58 per cent of total assets.
Money Market, Alternative Investments
Money market holdings increased 0.74 per cent to N2.42 trillion, supported by:
- Fixed deposits & bank acceptances: +6.14 per cent to N1.99 trillion
- Foreign money market instruments: +31.73 per cent
Commercial paper fell sharply by 29 per cent, but still forms 9.29 per cent of assets.
Alternative investments delivered mixed performance:
- REITs: +23.61 per cent to N98.11 billion
- Mutual funds: –3.32 per cent
- Private equity: –4.66 per cent
- Real estate: –4.42 per cent
Alternatives remain small at 0.84 per cent of total assets.
Cash Holdings Surge
Cash and other residual assets jumped 78.45 per cent to N518.95 billion, signalling a tactical shift toward liquidity amid market volatility.
Bottom Line
The September 2025 numbers show a resilient and expanding pension industry, with assets rising despite market volatility, currency pressure, and inflation.
Government securities remain the backbone of pension portfolios, but gradual increases in equities, REITs, and money market positions signal growing diversification.
For contributors, the trend points to sustained asset growth, prudent risk management, and cautious positioning by Pension Fund Administrators.
