SSC investment arm assets at JD12.3 billion, up JD1.1 billion in 2021 | Business
Ammon News –
Assets of the Social Security Investment Fund (SSIF), the investment arm of the Social Security Corporation (SSC), jumped JD1.1 billion in 2021, to a total of JD12.3 billion , according to Kholoud Saqqaf, CEO of the fund. .
The figures mark a 10% year-on-year growth. In 2020, the fund’s assets stood at JD11.2 billion, Saqqaf said at a press conference on Sunday highlighting the fund’s preliminary financial situation.
She said the fund’s overall return on investment (ROI) stood at JD575 million in 2021 from JD509 million in 2020, up 13% year-on-year. The CEO of SSIF indicated that the higher return on investment is driven by better returns from investments in bonds and other money market instruments, among other sources of income.
According to Saqqaf, bonds make up 57% of SSIF’s investment portfolio, followed by equities 16.6%, money market instruments 12.9%, real estate 6.1%, loans 3.4%, while investments in the hotel sector accounted for 2.4% of the fund’s investment. wallet.
She explained that a bullish Amman Stock Exchange (ASE) in 2021 propelled SSIF’s income in 2021, revealing that the book gains of the listed shares on the market amounted to JD 411 million last year against a loss accountant of 371 million JD in 2020.
Saqqaf disclosed that the fund purchased additional shares in major banking institutions and pharmaceutical and manufacturing companies in 2021, bringing its total equity investments to JD 2 billion or 12% of ASE’s total capitalization.
The SSIF CEO emphasized that the fund’s investments in ASE are long-term strategic ventures that avoid speculation.
Regarding real estate investments, Saqqaf said the fund purchased land worth JD 18 million in various parts of the Kingdom in the previous year, increasing the value of the real estate component of the fund’s investment portfolio. at 735 million JD.
Rental income from SSIF-owned properties amounted to JD 3.6 million in 2021, according to Saqqaf.
With regard to SSIF’s largest investment area, namely bonds, Saqqaf said the return on investment from bonds stood at JD 411 million in 2021, noting that bonds now account for 57% of the bond portfolio. total fund investment. She said the rate of return on the bond was 6%, the highest among other investment instruments.
Over the past year, Saqqaf said, the SSIF has built three solar power plants supplying electricity to three fund-owned hotels and other SSC buildings, adding that the cost will be recovered over a three-year period.
Also in 2021, the CEO of SSIF noted, an agricultural project in the southernmost region of Mudawra was launched, promising that the project will contribute to food security in the country and generate employment for the local community in the region.
Saqqaf revealed that the fund is considering participating in mega-projects the government plans to launch, including the Aqaba-Amman Water Carrier project, in addition to a recent tender for the construction of 15 public schools.