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By Maricel E. Burgonio Reporter
STATE-RUN Social Security System
(SSS) plans to invest abroad early next year to support the pension
fund’s financial viability.
The pension fund for private
sector workers announced its plan after state-run Government Service
Insurance System (GSIS), which caters to government workers, firmed
up its own move to invest $1-billion abroad, with the appointment of
its own financial advisor.
In a briefing, Corazon de la
Paz-Bernardo, SSS president, said the fund is studying how much will
be invested abroad.
“The SSS will finalize the
investment plan in the first quarter next year,” she told
reporters.
Rizaldy Capulong, SSS assistant
vice-president, said the fund can invest up to 7.5 percent of its
investment reserve, which amounts to P250 billion.
“We’re studying how much will
be invested. We’re allowed up to a maximum of 7.5 percent of the
investment reserve fund,” he said.
SSS is looking for a financial
consultant for its planned international foray.
At end-September, contribution
collections against benefit payments posted a surplus of P1.32
billion, while reserve finds swelled by P19.51 billion to P244
billion previously.
SSS members’ contribution
totaled P45.92 billion, or P6.80 billion more than the same period
last year due to intensified collection efforts by account officers
and a one percentage point hike in members’ monthly contribution.
Excess contributions over benefit
payments since 2005 has allowed the pension fund to extend its
actuarial life to 2036. Also contributing to this improvement is the
increase in the reserve funds since 2003 partly due to the run up in
the local stock market.
The pension fund’s revenues
swelled to P65.50 billion this year from P48.40 billion in the same
nine-month period last year, while its profit reached P16.18
billion, 136 percent higher than last year.
“These reflect successful
efforts to maintain financial viability of the fund so that the SSS
can continue disbursing benefits to our 27 million members,” de la
Paz-Bernardo said.
SSS’ total assets rose by 10
percent to more than P251 billion from P228 billion at end-December
last year.
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