Business / Financial Markets

GPIF boasts ¥6 trillion in returns on public pension money it invested in third quarter

JIJI

The Government Pension Investment Fund said Friday it enjoyed over ¥6 trillion in investment returns in the October-December quarter last year, posting a profit for the sixth consecutive quarter.

The investment yield for the third quarter of fiscal 2017 stood at 3.92 percent as returns from its investments in Japanese and foreign stocks grew thanks to strong corporate earnings amid the global economic expansion.

Investment returns over the three quarters from April came to ¥15.6 trillion, topping the annual record of ¥15.2 trillion posted in fiscal 2014. The yield for the nine-month period stood at 10.7 percent.

For October-December, the massive manager of public pension funds earned ¥3.4 trillion in profit from domestic stock investments and ¥2.1 trillion from foreign equity investments.

Its investments in domestic bonds produced a profit of ¥176.4 billion, and foreign bond investments generated ¥275.6 billion in profit.

Interest and dividend income totaled ¥763.5 billion.

At the end of December, assets under the GPIF’s management came to ¥162.6 trillion, a record high.

Of the total, 26.05 percent was invested in domestic stocks, 25.08 percent in foreign stocks and 14.13 percent in foreign bonds, all at record highs.

The share of domestic bonds stood at 27.67 percent, a record low.

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