LPF’s AUM grew 10% between January and November

30 December 2013   Category: News, Asia, Taiwan   By Asia Asset Management

Boosted by the rally in the local stock market, Taiwan’s Labor Pension Fund’s (LPF) total AUM rose 10% for the first eleven months this year to NT$1.65 trillion (US$55 billion) as of November 30.
Labor Pension Fund Supervisory Committee (LPFSC) said in its monthly report that the pension fund realised total revenues of NT$79 billion up to the end of November, representing an investment return of 5.11%. Total AUM of its defined contribution New Scheme and defined benefit Old Scheme was NT$1.054 trillion and NT$597.2 billion, respectively.
With the improving global and domestic economies, the committee said it will keep a sharp eye on market conditions and regularly re-adjust its investment strategies to generate stable returns for retirement scheme members.
In terms of the outsourced mandates’ performances, the US$1 billion global low volatility equity mandates of the New Scheme outsourced to BlackRock and State Street Global Advisors (SSgA) in April this year recorded accumulated returns of 1.76% outperforming its benchmark index return of 1.69%.
LPFSC recently put up a slew of new mandates such as global real estate securities and global infrastructure securities for tender; even so, a number of mandates have yet to be fully funded, and they include mandates for global high dividend yield and global credit.