EPF records RM 19.29 billion in gross investment income | Daily Express Online

EPF records RM 19.29 billion gross investment income

Posted on: Wednesday 09 June 2021

By: Bernama

Text size:

Kuala Lumpur: The Employee Provident Fund (EPF) recorded gross investment income of RM 19.29 billion for the first quarter (Q1) ended March 31, 2021, despite uncertainties related to Covid-19. The pension fund said stocks recorded RM14.28 billion in income during the quarter, accounting for 74 percent of total gross investment income, while fixed income instruments continued to contribute. stable income of 3.92 billion ringgit. Income from real estate and infrastructure, as well as from money market instruments, contributed RM 0.71 billion and RM 0.38 billion, respectively.

PUBLICITY

He said that after the depreciation of costs on listed stocks, which was a prudent measure taken by the EPF to ensure that its long-term investment portfolio remains healthy, the fund recorded net income of investment of RM 19.24 billion. General Manager Datuk Seri Amir Hamzah Azizan said the strong first quarter performance was a consequence of the global economic recovery that started in the second half of last year. “We believe that the roll-out of vaccination, as well as favorable fiscal and monetary policies around the world will play a key role in facilitating economic activities and growth,” he said in a statement on Tuesday. Amir said inflationary concerns have not derailed the positive trend in stock markets, and the EPF took the opportunity to reposition holdings in stocks that were fundamentally strong but undervalued. EPF’s investment assets stood at RM 981.71 billion at the end of March 2021, of which 36% was invested overseas and diversification into different asset classes, markets and currencies continues to grow. ” ensure the stability of income and the added value of the fund. overall returns.

PUBLICITY

In the first quarter, he said that EPF’s overseas investments generated an income of R11.15 billion, or 58% of the total gross investment income recorded, mainly driven by foreign stocks. By asset class, fixed income instruments accounted for 46 percent of investments, while equities accounted for 44 percent. Money market instruments and real estate and infrastructure accounted for 4.0% and 6.0% of investments, respectively. The portfolio reflects EPF’s diversification strategy to optimize returns within tolerable risk limits, as guided by Strategic Asset Allocation (SAA). Amir said that a disciplined investment approach and robust SAA-guided liquidity management have succeeded in minimizing the impact of substantial disbursements on EPF’s portfolio, allowing it to maintain stable performance. “This reflects the fund’s commitment to protecting our members’ retirement savings by preserving and enhancing the value of that savings, while ensuring that their short-term needs are met without compromising their long-term interests.” , did he declare. To date, a total of RM 57.97 billion of i-Sinar withdrawals have been approved for 6.49 million applicants, of which RM 50.93 billion has been disbursed, while RM 20.80 billion has been disbursed. paid to 5.27 million members as part of the i -Installation Lestari. EPF’s i-Sinar and i-Lestari facilities were introduced to allow affected members to make withdrawals that would help provide some measure of financial assistance.