EPF Q1 investment income jumps 70pc
THE Employees Provident Fund (EPF) registered an investment income of RM5.55 billion for the first quarter of this year, backed by the recovering global economy.
Its chief executive officer Tan Sri Azlan Zainol said the performance represented a 70.3 per cent jump over the RM3.26 billion recorded for the same quarter last year, helped by firmer market conditions.
"Significant improvement in the year-on-year investment performance was a reflection of a more bouyant and favourable economic environment as Malaysia steers into making a full recovery from the economic crisis," he said in a statement yesterday.
However, he cautioned that while market conditions have improved, the environment remains volatile and EPF is cautious as the recovery of economies around the world is expected to take place at an uneven rate.
"This, to a certain extent has had some impact on the overall performance of our investment returns in the first quarter of this year," he said.
Investment income for the first three-month period was led significantly by equities that contributed RM2.79 billion.
It was mainly driven by the rise in share prices coupled with higher trade volume spurred by encouraging domestic economic growth, which led to opportunities for EPF's equity managers to lock in profit.
Azlan said loans and bonds were the second largest contributors with RM1.55 billion. However, the amount was 13.2 per cent lower than the RM1.78 billion previously.
Investment income contributions from Malaysian Government Securities for the period dropped 3.88 per cent from RM1.11 billion to RM1.07 billion.
Meanwhile, investment income derived from money market instruments and properties improved by 3.75 per cent and 5.04 per cent respectively, contributing RM124.9 million and RM21.67 million.
Going forward, Azlan said EPF is significantly encouraged by Malaysian economy's robust growth of 10.10 per cent in the first quarter of this year.
Its chief executive officer Tan Sri Azlan Zainol said the performance represented a 70.3 per cent jump over the RM3.26 billion recorded for the same quarter last year, helped by firmer market conditions.
"Significant improvement in the year-on-year investment performance was a reflection of a more bouyant and favourable economic environment as Malaysia steers into making a full recovery from the economic crisis," he said in a statement yesterday.However, he cautioned that while market conditions have improved, the environment remains volatile and EPF is cautious as the recovery of economies around the world is expected to take place at an uneven rate.
"This, to a certain extent has had some impact on the overall performance of our investment returns in the first quarter of this year," he said.
Investment income for the first three-month period was led significantly by equities that contributed RM2.79 billion.
It was mainly driven by the rise in share prices coupled with higher trade volume spurred by encouraging domestic economic growth, which led to opportunities for EPF's equity managers to lock in profit.
Azlan said loans and bonds were the second largest contributors with RM1.55 billion. However, the amount was 13.2 per cent lower than the RM1.78 billion previously.
Investment income contributions from Malaysian Government Securities for the period dropped 3.88 per cent from RM1.11 billion to RM1.07 billion.
Meanwhile, investment income derived from money market instruments and properties improved by 3.75 per cent and 5.04 per cent respectively, contributing RM124.9 million and RM21.67 million.
Going forward, Azlan said EPF is significantly encouraged by Malaysian economy's robust growth of 10.10 per cent in the first quarter of this year.
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