Total CPS assets stood N14trn as at Q1 2022-PenCom

A Pension Fund Administrator (PFA) is a company that is licensed to manage pension fund assets in Nigeria. There are currently 20 PFAs, 18 are available to the general public while the remaining two are specifically for Police Officers and University employees.

The total assets under the Contributory Pension Scheme (CPS) as at 31 March 2022 is N13.88 trillion but the monthly report which disclosed this was released without the breakdown per PFA.

Therefore, looking at the Retirement Savings Accounts (RSA) assets under management by each of the PFAs going by the latest report from the National Pension Commission (PenCom)

The breakdown per PFA is as at 31 December 2020 when the total assets under the CPS was N12.3 trillion, out of which N9.30 Trillion is for Retirement Savings Accounts (RSAs) managed by PFAs and the remaining N3 trillion, is for Existing Schemes and pension funds managed by Closed Pension Fund Administrators (CPFA). Please note that there were 22 PFAs as at 31 December 2020.

According to the report Stanbic IBTC Pension Managers Limited, holding 37.12 per cent of the total RSA assets under management (AUM) as at 31 December 2020, though have a slight decline from the figures of 37.14 per cent as at 31 December 2019. Nevertheless, make it the biggest PFA in Nigeria by Assets Under Management (AUM) in Nigeria.

Following by ARM Pension Managers Limited 8.55 per cent also follow the stanbic step by decrease from 8.75 per cent as at Dec 2019, while third position goes to Premium Pension Limited 7.24 per cent also decrease from 7.99 per cent as at Dec 2019,

Others are: Nigeria Police Force Pensions Limited 6.86 per cent which increase from 6.53 per cent as at Dec 2019, and Trustfund Pensions Limited 6.22 per cent retained the same 6.22 per cent figures as at Dec 2019. The percentages are based on the total RSA AUM in Nigeria as at 31 December 2020 and 31 December 2019, respectively.

The Top 5 PFAs by RSA AUM together hold 66 per cent as at December 2020 showed decrease from 66.63 per per cent as at 31 Dec 2019, leaving just 34 per cent for the remaining 17 PFAs. Three of the Top 5 biggest PFAs lost slight AUM percentages compared to the industry total but the small PFAs need to go further than a mile to get any meaningful AUMs.

In further analysis of the PFAs RSA AUM year over year changes to determine the fastest growing PFAs by RSA AUM revealed that as at 31 December 2020 and 31 December 2019, the fastest growing PFAs by RSA AUM are NUPEMCO, Radix, NLPC, IEI Anchor and APT Pension.