The largest pension fund in the East African Region, the Uganda National Social Security Fund has announced that its assets may reach Shs20 trillion (U$5.2 billion) as early as 2023, or about two years ahead of target.
Managing Director Richard Byarugaba said in an interview, that will be an approximately 15% increase from June.
The Director said on Friday that the pension fund plans to accelerate the expansion of its asset base as investment income climbs.
The Fund manages assets worth over Ugshs14 million invested in Fixed Income, Equities and Real Estate Assets.
The overall objective of the Fund’s investments is to create value for members by generating competitive returns to provide members and beneficiaries with benefits as required by law.
The Fund is a long-term investor. This long-term investment horizon is because the liabilities, over the long term, are majorly influenced by a relatively young member profile.
The Fund collects members’ contributions and invests them judiciously, and pay commensurate benefits to qualifying members.
The money collected is maintained on individual member accounts, invested and earns an annual interest depending on the Fund’s return on investments.
On qualification, the member is paid the lump sum amount plus interest computed every year.
