CPF Financial Services has announced a 5.3% rise in net assets for the year ending December 2023, reaching Sh73.1 billion, up from Sh69.4 billion. This impressive growth is largely driven by strategic investments, particularly in government securities, fixed deposits, and real estate.
The County Pension Fund (CPF), the largest of the three funds under CPF’s management, contributed significantly to this growth, with net assets increasing from Sh32.8 billion to Sh39 billion. This is attributed to higher investment allocations, reflecting a successful diversified investment strategy.
Membership in the County Pension Fund rose to 76,593 from 68,280 in 2022. Despite this, CPF’s individual pension plan fund saw a slight dip in net assets to Sh2.88 billion from Sh3.14 billion, although its membership grew to 23,229 from 10,931, highlighting an expanding customer base.
Laptrust Fund faced challenges, with net assets declining to Sh31.2 billion from Sh33.4 billion and membership dropping to 14,771 from 15,842. The reduction is due to increased withdrawals as the scheme matures, transitioning many members to the pensioners’ payroll.
In a strategic move, CPF bundled its investment properties to create the Laptrust Imara real estate investment trust (i-Reit). This diversification aims to enhance value through income-generating real estate, reflecting CPF’s innovative approach to asset management.
CPF Group Managing Director Hosea Kili emphasizes the provider’s readiness to capitalize on investment opportunities, even amidst global economic complexities. With a client base of 114,593, CPF remains committed to delivering value through innovative solutions and prudent financial management.
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