Status of Contributory Pension Assets as at 31 August 2025
Nigeria’s Pension Fund Assets Rise by ₦3.38 Trillion in 8 Months — Sector Diversification Loading
As of 31 August 2025, total pension fund assets under management (AUM) stood at ₦25.90 trillion, marking a significant year-to-date (YTD) growth of ₦3.38 trillion or 15% from ₦22.51 trillion recorded as at 31 December 2024, according to the latest data from the National Pension Commission (PenCom).
Investment Diversification and Allocation Trends
FGN Securities remain the dominant investment class, accounting for 61.1% of total assets (down from 62.7% in December 2024), reflecting sustained government debt exposure but slight diversification into other asset classes.
Equities (domestic and foreign combined) grew notably to 15.1% from 11.1%, driven largely by gains in domestic shares amid improved market performance in 2025.
Alternative investments — including Private Equities, Infrastructure Funds, and Mutual Funds — expanded their share from 2.0% to 2.9%, signalling gradual but steady growth in long-term and growth-oriented assets.
Real Estate and State Government Securities both saw marginal declines, indicating limited new exposure to these asset classes during the period.
Key Insights
Robust Growth in Domestic Equities: The surge of over ₦1.36 trillion in domestic ordinary shares reflects pension funds’ increasing confidence in the Nigerian capital market, in line with the strong performance of the Nigerian Exchange (NGX) in 2025, which saw significant gains across major indices and improved investor sentiment.
Diversification Progress: The overall asset mix shows a slow but encouraging shift away from exclusive reliance on FGN securities toward equities and alternative assets.
Long-Term Sustainability: Increased exposure to infrastructure and private equity investments supports the goal of channeling pension assets into productive sectors of the economy.
The Top 7 places where pension funds were invested as at August 2025, with percentage invested, are;
- Total FGN Securities N15.82 Trillion (61.11%)
- Domestic Ordinary Shares N3.61 Trillion (13.93%)
- Money Market Instruments N2.41 Trillion (9.29%)
- Corporate Debt Securities N2.23 Trillion (8.63%)
- Cash & Other Assets N290.82 Billion (1.12%)
- Foreign Ordinary Shares N277.39 Billion (1.07%)
- Private Equities N273.29 Billion (1.06%)
Breakdown of Pension Fund Investments as at Dec 2024 and August 2025
Table 1 shows assets class as at Dec 2024 and Aug 2025 with change in naira and percentage, with this table you can see the assets class that has grown fastest, which are Mutual Funds, Private Equities and Domestic Ordinary Shares.
| Asset Class | Dec-24 | Aug-25 | ₦ Change | % Change |
| FGN Securities | 14.11 Trillion | 15.82 Trillion | 1.7103 Trillion | 12.12% |
| Domestic Ordinary Shares | 2.24 Trillion | 3.61 Trillion | 1.3654 Trillion | 60.91% |
| Money Market Instruments | 2.22 Trillion | 2.41 Trillion | 0.1895 Trillion | 8.55% |
| Corporate Debt Securities | 2.25 Trillion | 2.23 Trillion | -0.0116 Trillion | -0.52% |
| Cash & Other Assets | 0.43 Trillion | 0.29 Trillion | -0.1370 Trillion | -32.03% |
| Foreign Ordinary Shares | 0.27 Trillion | 0.28 Trillion | 0.0094 Trillion | 3.51% |
| Private Equities | 0.15 Trillion | 0.27 Trillion | 0.1254 Trillion | 84.81% |
| Real Estate | 0.28 Trillion | 0.25 Trillion | -0.0290 Trillion | -10.23% |
| Infrastructure Funds | 0.21 Trillion | 0.24 Trillion | 0.0272 Trillion | 12.68% |
| State Govt. Securities | 0.25 Trillion | 0.24 Trillion | -0.0134 Trillion | -5.34% |
| Mutual Funds | 0.08 Trillion | 0.23 Trillion | 0.1457 Trillion | 180.37% |
| Supra-National Bonds | 0.02 Trillion | 0.02 Trillion | 0.0012 Trillion | 5.55% |
| Total | 22.51 Trillion | 25.90 Trillion | 3.3830 Trillion | 15.03% |
Table 2 shows assets class as at Dec 2024 and Aug 2025 with individual percentage of each asset class as at each date, this lets you know investment in which asset class has increased or reduced in percentage to the total pension fund assets.
| Asset Class | Dec-24 | Percentage | Aug-25 | Percentage | % In>/De< |
| FGN Securities | 14.11 Trillion | 62.70% | 15.82 Trillion | 61.11% | -1.59% |
| Domestic Ordinary Shares | 2.24 Trillion | 9.96% | 3.61 Trillion | 13.93% | 3.97% |
| Money Market Instruments | 2.22 Trillion | 9.84% | 2.41 Trillion | 9.29% | -0.55% |
| Corporate Debt Securities | 2.25 Trillion | 9.98% | 2.23 Trillion | 8.63% | -1.35% |
| Cash & Other Assets | 0.43 Trillion | 1.90% | 0.29 Trillion | 1.12% | -0.78% |
| Foreign Ordinary Shares | 0.27 Trillion | 1.19% | 0.28 Trillion | 1.07% | -0.12% |
| Private Equities | 0.15 Trillion | 0.66% | 0.27 Trillion | 1.06% | 0.40% |
| Real Estate | 0.28 Trillion | 1.26% | 0.25 Trillion | 0.98% | -0.28% |
| Infrastructure Funds | 0.21 Trillion | 0.95% | 0.24 Trillion | 0.93% | -0.02% |
| State Govt. Securities | 0.25 Trillion | 1.11% | 0.24 Trillion | 0.92% | -0.20% |
| Mutual Funds | 0.08 Trillion | 0.36% | 0.23 Trillion | 0.87% | 0.52% |
| Supra-National Bonds | 0.02 Trillion | 0.09% | 0.02 Trillion | 0.08% | -0.01% |
| Total | 22.51 Trillion | 100.00% | 25.90 Trillion | 100.00% |
Conclusion
The pension industry’s ₦25.9 trillion AUM milestone as at August 2025 underscores the sector’s steady growth, driven by consistent contributions, investment returns, and expanding portfolio diversification. While FGN instruments remain the anchor, the gradual shift toward private equities, mutual funds, and infrastructure suggests a maturing investment landscape capable of boosting both retiree wealth and national economic growth.
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