The Chief Executive Officer (CEO), Pension Funds Operators Association of Nigeria (PenOp), Mr Oguche Agudah says many pension fund managers would channel their investments to infrastructure in 2023.
Agudah said this over the weekend during a webinar organised by PenOP, with the theme: “The Nigerian Economic and an Investment Outlook: A focus on Pension Fund Investment Strategies,”
According to him, 42 per cent of the Pension Fund Administrators (PFAs) indicated that they were actively looking for investments in infrastructure in 2023, while 50 per cent would consider it.
He said “Although fund managers are careful about private equity, they will consider the investment in infrastructure on a deal by deal basis. This is because 25 per cent of the fund managers had assured that they would invest in private equity while 67 per cent would consider it.
Fund managers are looking to invest in impact funds but transparency and structure are key,” he explained.
On various dealings in equities and securities, the PenOp CEO disclosed that there was reduction in engagement with equities in 2022 from 7.73 per cent in 2021 to 6.79 per cent in 2022.
Agudah explained that government securities as share of portfolio declined by 118 basis points to 65.44 per cent, while there was reduction in interaction with money market securities by 1.92 per cent.
Also speaking, Mrs Rita Babihuga-Nsanze, Chief Economist, Africa Finance Corporation (AFC), said some of the steps the incoming government must take to put the economy on the right path and put an end to fuel subsidy regime
She said the incoming government must address security in oil sector corridor, subsidy regime and enthrone the expected reform in forex market.