Nigeria’s total pension assets rose to ₦26.66 trillion in October 2025, representing a 2.19% month-on-month increase from ₦26.09 trillion recorded in September and a robust 21.63% year-on-year growth, according to the latest data released by the National Pension Commission (PenCom).
The report shows that money market instruments recorded one of the strongest movements during the month, climbing from ₦2.42 trillion to ₦2.88 trillion, an 18.85% MoM increase. The segment now accounts for 10.80% of total pension assets, reflecting heightened preference for liquidity and short-term yields.
Within the money market space, fixed deposits and bank acceptances drove the rally, surging 24.89% to ₦2.48 trillion, as Pension Fund Administrators (PFAs) repositioned portfolios to benefit from elevated interest rates. However, foreign money market instruments plunged 44.80%, largely due to foreign exchange repricing and valuation losses linked to persistent naira volatility. Commercial papers recorded a modest gain of 5.61%, rising to ₦328.65 billion.
Corporate bonds declined from ₦2.24 trillion in September to ₦2.16 trillion in October, contributing 8.11% to total assets. The decline was broad-based, with corporate bonds held-to-maturity (HTM) down 3.70%, available-for-sale (AFS) bonds down 2.67%, and infrastructure bonds falling 7.61%.
Despite these declines, Federal Government of Nigeria (FGN) instruments remained the backbone of the pension industry, expanding marginally by 1.35% MoM to ₦15.96 trillion and accounting for 59.86% of total pension assets.
Key movements within FGN securities included an 11.34% increase in Treasury Bills, driven by attractive short-term yields, and an 8.14% rise in FGN bonds (HTM) to ₦13.88 trillion, which alone represents 52% of total pension assets. Sukuk bonds grew by 5.33%, supported by diversification efforts, while Green Bonds edged up 1.68%, reflecting renewed interest in sustainability-linked instruments. Overall government securities rose 1.28%, reinforcing a market-wide risk-off posture amid equity and FX volatility.
In the equities segment, domestic equities grew by 5.01% to ₦3.84 trillion, accounting for 14.42% of total assets, supported by bargain-hunting and expectations of year-end rallies. In contrast, foreign equities declined by 6.45%, reflecting valuation pressures and cautious FX repositioning. Total equity exposure—domestic and foreign—stood at about 15.39% of pension assets.
The alternatives segment delivered mixed results. Mutual funds advanced 1.32% to ₦221.88 billion, supported by growth in open- and closed-ended funds as well as marginal gains in REITs. Infrastructure funds rose strongly by 9.23% to ₦262.57 billion, signalling renewed PFA interest in real-sector diversification. However, private equity declined by 10.53% to ₦233.10 billion, while real estate assets fell sharply by 40.19% to ₦145.56 billion, likely due to portfolio restructuring or valuation markdowns. Supranational bonds also retreated by 10.44% to ₦19.70 billion.
Meanwhile, cash and other assets dropped by 16.79% from ₦518.95 billion to ₦431.84 billion, as funds were reallocated into higher-yielding money market and government securities.
On the contributor side, Retirement Savings Account (RSA) enrolments increased from 10.93 million in September to 10.97 million in October, representing a 0.39% growth.
Across RSA funds, the structure remained consistent with historical trends. Fund II, the default fund for contributors aged 49 and below, rose 2.68% to ₦11.25 trillion, accounting for 42.18% of total assets. Fund III (Pre-Retiree) increased by 1.89% to ₦6.85 trillion, contributing 25.71%.
Fund I (Aggressive) recorded strong growth of 6.99% to ₦424.11 billion, while Fund IV (Retiree Fund) and Fund V (Micro-Pension) grew by 3.65% and 4.42%, respectively. Shariah-compliant funds also posted solid gains, with Fund VI (Shariah) up 7.16% to ₦205.39 billion and Retiree Shariah Fund rising 4.16% to ₦21.52 billion.
Existing schemes and Closed Pension Fund Administrators (CPFAs) contributed 12% and 10.10%, respectively, further reinforcing the broad-based growth trajectory of Nigeria’s pension industry.
