Nasfund to pay 7.25pc

The National National

By SHIRLEY MAULUDU
MEMBERS of the National Superannuation Fund Limited (Nasfund) can expect a 7.25 per cent increase in their accounts following a positive financial result in 2016.
The Nasfund board approved the crediting rate of 7.25 per cent to be paid to members’ accounts for the 2016 financial year.
This equates to K265.5 million, according to a statement from the Nasfund board.
Board chairman Hulala Tokome said the fund demonstrated a strong resilience against challenging economic downturn last year to obtain positive outcomes with an over budgeted performance in cash returns from its investments and controlled expenses.
“Members’ Nasfund savings were for long term and about quality of life after active employment or in retirement,” he said.
“Members should be actively thinking and planning their future.
“I also remind members that while returns from the investment portfolio are subject to market forces, and vary from year to year, real returns after inflation to member accounts increase significantly over a long period through the effect of compound interest and a dedication to investing in assets that provide secure long term returns.
“This is where the real benefits are derived, from members.
“Above all, striving to be better than we are now, and continuing to uphold members’ interests is your board’s focus. This is what we are all about.”
The board also agreed to hold reserves of K91 million – or 2.36 per cent of member funds – as a matter of prudency.
Nasfund was established in May 2002 as the successor entity to the National Provident Fund. It is the largest private sector superannuation fund in PNG.
The Nasfund board also announced a net profit of K283.47 million for 2016 – representing 87 per cent over the 2015 results of K150.9 million.
It reported a gross asset value of K4.34 billion, representing a growth of 7.2 per cent from the K4.05 billion recorded the previous year. A net asset value of K4.22 billion was also highlighted representing a growth of 7.4 per cent from K3.93 billion recorded in 2015.