SSS to increase investments in stocks
Posted on September 2nd, 2009
Oblivious of the controversy that is presently hounding its chief, the Social Security System (SSS) is increasing its investments in stocks, as it remained bullish about the equities market this year. The SSS took note of the improving outlook of many companies as the global economy slowly recovers from the turmoil.
From January to June of this year, the pension funds investments in publicly listed stocks has reached P55.52 billion, an increase of 20% from only P45.13 billion in the same period last year. “The investment climate has improved this year. Although there are still external shocks being felt by the market, the outlook this year is now much better, “ said SSS senior vice president for investments Edgar Solilapsi.
Solilapsi said the agency would be continuing to invest aggressively in the stock market for the rest of the year. He also added that they will be continually looking for opportunities to generate more investment income this year and they were encouraged by latest economic developments.
However, Solilapsi refused to disclose as to which stocks the agency was considering to buy although he mentioned that they will investing on stocks that would be “highly financially stable corporate entities.†He said more equity investments would help the fund post even higher profits, without letting risks get out of control. “Economic conditions are much better now than they were last year,” he pointed out.
At present the pension fund managers has investments in First Philippine Holdings, Philippine Long Distance Telephone Co., and Philex Mining Corp. In their annual report, the SSS showed it generated P29 billion in investment income in 2008.
