As of May 14, 2021, Crusader Sterling Pensions, ARM Pension Managers, Premium Pension, Stanbic IBTC Pension and NLPC led other Pension Fund Administrators (PFAs) in Unit Price of Fund II.
Fund II represents the largest fund in the Multifund Structure, which is the default fund for all Active Contributors who are below 50 years of age.
A fund’s unit price is the price per share in the fund. Each share is representative of a unit of ownership in the fund’s basket of securities. The unit price is determined by the fund’s net asset value.
In the data assessed by BusinessDay, Crusader Sterling Pensions led in unit price for this fund, having 5.6737, followed by ARM Pension Managers with 5.1754.
Premium Pension followed suit with unit price of 5.1324; Stanbic IBTC Pensions 5.0383, while NLPC PFA had 5.0189 on the review date.
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Though operators say that there are several measurement indices for performance of a PFA including returns on investment, Asset Under Management (AUM), and Service Delivery, the unit price relates more to shareholders and equity holders in the company.
Performance also differs between one PFA and the other across the different funds, that is Fund I, Fund II, Fund III, Fund IV, among others.
The objectives of the Contributory Pension Scheme are to ensure that every person who worked in either the Public Service of the Federation, Federal Capital Territory, States and Local government or the Private Sector receives his retirement benefits as and when due; and to assist improvident individuals by ensuring that they save in order to cater for their livelihood during old age, according to the provisions of the Act.
In the case of the private sector, the scheme shall apply to employees who are in the employment of an organization in which there are three or more employees.
Notwithstanding the provision of subsection (2) of this section, an employee of an organization with less than three employees as well as self-employed persons shall be entitled to participate under the scheme in accordance with guidelines issued by the Commission.
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