Fund in revamp mode

 By GYNNIE KERO

NAMBAWAN Super has begun the process of revamping the fund and assessing its capacity to drive the business forward, chief executive officer Garry Tunstall (pictured right) said.

He told Business Advantage that the superfund had sound asset base returns over quite a number of years, adding that the board hoped to see that continue.

Chairman Sir Nagora Bogan said earlier the fund was currently expanding its portfolios aimed to grow Nambawan Super.

Nambawan Super managed the superannuation funds of K3.8 billion for over 131,000 members from both the private and public sectors. 

In the last financial year, it posted a net return of K351 million.

Tunstall said the superfund would be looking at its operation, leadership quality and capability and the entire infrastructure it needed.

The fund grew its asset base by an impressive 15% in the 2012 financial year and had averaged asset growth of just over 10% over the past five years. 

Tunstall said growth had been astounding in the last five years.

He said that (growth) had really been about the PNG LNG project largely and the infrastructure that’s required to support it as well as other investors, then seeing the opportunity to develop and build commercial and residential property.

“I think the country still will grow, but we have seen an easing of support for residential housing prices and rentals. 

“We’ve seen commercial rents starting to ease off a bit. 

“Obviously, the kina has run down over recent months in terms of its value, and that’s a result of a lack of investment coming into the country and lack of exports and probably lower commodity prices generally>’

He said the superfund got a strategy to maintain ratios in certain investment areas such as property and shares.

Tunstall identified government infrastructure projects as another area of significant potential.

He said they would like to provide services to members directly by mobile phone.