The Pension Fund Administrators (PFAs) interest in corporate debt securities rose by 43.9 percent Year-on-Year (YoY) in August, 2022, on the back of rising yields environment in the market segment.
The PFAs committed N1.380 trillion at the end of August 2022 as against N960.58 billion in the corresponding period in 2021.
The breakdown shows that the N1.380 trillion invested in the corporate securities represented 9.59 percent of N14.39 trillion total PFAs’ assets within the eight month period.
Details of the PFAs exposure during the month shows that N1.351 trillion, representing 9.36 percent of total investment in corporate debt securities was committed in corporate bonds.
Corporate infrastructure bonds, followed with N23.84 billion, while N6.31 billion was invested in corporate green bonds.
On a Month-on-Month (MoM) basis, they raised their exposure by 0.8 percent from N1.37 trillion in July, while on a year-to-date basis the investment spiked by 38.6 percent from N997.03 billion.
Meanwhile, the PFAs’ investment in money market instruments stagnated at N2.122 trillion.
