PENCOM pledges to partner with NSE on market development

The Director-General, Nigerian Pension Commission, Mrs Chinelo Anohu-Amazu has pledged the commission’s commitment to work with the Nigerian Stock Exchange to grow the nation’s capital market.

According to her, PENCOM would deepen its partnership with the NSE to put the necessary measure in place in order to give institutional investors the needed comfort to remain in the equities market on a long term basis.

Addressing stockbrokers at the Bell ringing ceremony in Lagos yesterday, the PENCOM boss added  that  the Commission required an enabling environment to participate maximally in its effort to help move the market forward.

“The reform that has been on going in the NSE is the kind of thing that PENCOM is looking for because we are institutional investors and because of the nature of funds we hold which idly belonging to the retirement service account holders, and the primary mandate of PENCOM is to esta lish and ensure that liabilities and pension retirement benefits are paid as and at when due, this is the crux of all investments we do.

“Now, the relationship we are estab lishing with the NSE is such that will enable us meet our initial mandate, while also playing an active part in the local development of the NSE because investment in equities for institutional investors is long term in nature. We are not portfolio investors , we are in for  long term and iam happy that the management of the NSE is creating that platform to enable us fulfil that mandate.

Anohu-Amazu, while fielding questions from journalists concerning state governments that are yet to be part of the initiative, she explained that the Commission recorded increased commitment from  state government to sign up into the system at the just concluded world summit, noting that they also pledged to ensure that all the people working in the state level have this payment made to them.

She added that PENSION has ensured that part of the regulations stipulates that a state   PSA cannot invest in state bond that is not fully implementing the contributing system.

“In terms of compliance , you must know it is an ongoing job. “The state is slightly different, you have to pass their own law and then make it in conformity with PENSION reform of 2014 and it is not just the state even in the private sector and companies everywhere. And part of our job is to ensure and follow up to see that RSA retirement savings account is fully funded. We have seen an upsurge in that and the future looks bright. “she said.