INFORMATIONAL MESSAGE
Accumulated profitability exceeds inflation
The amount of pension savings of depositors of the Unified Accumulative Pension Fund as of November 1, 2022 amounted to 14.1 trillion tenge. The investment income accrued since the beginning of the year, 672.6 billion tenge, the yield of pension assets for the last 12 months on pension assets secured by the National Bank of the Republic of Kazakhstan (from November 2021 to October 2022) amounted to 5.97%.
Analyzing the profitability of pension assets over the past five years (2017-2021), it can be noted that it annually exceeded inflation.
For the period from 2014 (the time of the merger of all pension assets into the UAPF) to October 2022, the accumulated investment income amounted to 6.7 trillion tenge, and the accumulated return on pension assets is 119.5% with inflation of 115.2%.
If we take an even longer time period, then the investment yield since the foundation of the accumulative pension system (1998) on November 1, 2022, with an increasing total, amounted to 718.78% with inflation for the entire period of 658.01%.
These data indicate that pension savings are long–term investments and it is advisable to analyze the amount of investment income for a period of at least 1 (one) year. Short–term data (weekly, monthly, etc.) are not indicative, because they depend on constant changes in market conditions. In the medium and long term, the positive real (exceeding accumulated inflation) profitability of pension savings is ensured.
Even if a decrease in profitability in a separate period affects the accumulated profitability of an individual depositor upon the onset of the right to payments, we recall that in the Republic of Kazakhstan there is a unique guarantee of the safety of mandatory types of pension contributions, taking into account the level of inflation.
The entire system of investment management and accounting of pension assets is transparent: each depositor has the opportunity to see his investment income in his personal account on the enpf website.kz or in the mobile app.
Information on the investment management of the pension assets of the UAPF and on the financial instruments in which the pension assets of the UAPF are placed is published on the official website of the UAPF (www.enpf.kz ) in the section "Indicators/Investment activity".
There is a lot of interesting and useful information on the YouTube channel BZHZKENPF.
UAPF was established on August 22, 2013 on the basis of JSC "NPF "GNPF". The founder and shareholder of the UAPF is the Government of the Republic of Kazakhstan represented by the State Property and Privatization Committee of the Ministry of Finance of the Republic of Kazakhstan. The trust management of pension assets of the UAPF is carried out by the National Bank of the Republic of Kazakhstan. Since January 1, 2016, the functions of developing proposals to improve the efficiency of pension assets management have been transferred to the National Fund Management Council. In accordance with the pension legislation, the UAPF attracts mandatory pension contributions, mandatory occupational pension contributions, voluntary pension contributions, pension payments, individual accounting of pension savings and payments, provides the depositor (recipient) with information on the status of his pension savings (more on www.enpf.kz ).