Superfund affected by Covid-19

THE contraction in the economy and the Covid-19 impacts on businesses have affected Nambawan Super Ltd (NSL), says chief executive officer Paul Sayer.
He told a workshop yesterday that 2020 had been hard for the fund as revenue from investments was affected.
“Shareholders are impacted when businesses are impacted,” Sayer said.
“This year has been hard for NSL with the contraction to the economy, projects not starting and the Covid-19.
“We have not seen a boom in the economy.
“Our interest depends on investments and some of these investments are in businesses such as properties.
“We make money on properties on rent.
“Sometimes the property value goes up, sometimes it comes down.
“We also invest in BSP (Bank South Pacific) and share prices can go up or down.
“This year it has been lower.”
The fund also invests in treasury bills and offshore businesses.
The fund recently asked members to prepare for lower than usual returns to their savings because of the Covid-19.
“When markets are low, it’s often a good time to invest so you can get the benefit of market rebounds,” Sayer said.
“So save more in voluntary contributions.
“This year could deliver high returns short-term when the market stabilises and increases,” Sayer said.
He said the superfund was planning a member housing strategy to allow members to retire with money and housing.