Over 20,000 retirees shift massive N153 billion in pension funds in search of higher yields

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By Rosemary Iwunze

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In the quest for better management and significant return on investment for their pension savings, a total of 19,969 Retirement Savings Account, RSA, holders transferred their pension contributions from one Pension Fund Administrator, PFA, to another in the fourth quarter of 2025, Q4’25.

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The value of funds transferred within the quarter stood at N153.31 billion.

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However, the number of RSA holders that transferred their contributions in Q4’25 represented a decline of 41.8 per cent from 34,334 contributors recorded in Q3’25. The value of funds transferred in Q3’25 was N274.29 billion.

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It will be recalled that the Pension Reform Act, 2024 allows RSA holders to transfer their account from one PFA to another once per year.

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This, according to the National Pension Commission, PenCom, will promote service competition among the PFAs.

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Meanwhile, PenCom said that the pension industry has commenced moves to establish an investment consortium aimed at bridging the huge infrastructural gap in the country.

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Director General of PenCom, Ms. Omolola Oloworaran, who disclosed this noted that pension operators are proposing mobilising pension assets for infrastructure financing to channel funds into viable national projects while ensuring robust risk management and sustainable returns.

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Oloworaran emphasised that increased investment in infrastructure would help close critical gaps in the economy, stimulate job creation, improve productivity, and ultimately deliver stronger long-term value for pension contributors.

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She said: “It is critical to channel pension capital into infrastructure, create bankable investment pipelines, support national development, and preserve returns.

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“The Investment and Financial Markets Committee has been set up to develop structured investment vehicles for infrastructure financing. These structures are being carefully designed to minimize risk exposure for pension funds while enabling participation in large-scale national projects. Implementation will follow once frameworks are finalised, with strong emphasis on risk management and capital preservation.”

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