Pension aggressive funds deliver 20% returns
The National Pension Commission has revealed that pension funds recorded strong investment returns in September, with high-growth aggressive funds delivering about 20 per cent returns in a single month.
Highlighting the success of these portfolios, the Director-General of PenCom, Ms Omolola Oloworaran, stated, “Pension fund performance continues to demonstrate strong resilience and growth, particularly under Fund I, the growth-oriented portfolio designed for younger contributors.”
Oloworaran disclosed this on Monday during the opening ceremony of the National Pension Week 2026 Awareness, tagged, “Opening & Youth Engagement: Your Hustle, Your Future, Why Retirement Planning Starts Now.”
Addressing participants at the youth-focused event, Oloworaran announced that pension fund returns for Fund I returned over 20 per cent in the last month during the commission’s recent performance review.
Providing broader context on the evolution of Nigeria’s retirement landscape, industry analysts note that the recent stellar performance of high-growth portfolios marks a significant maturation of the Contributory Pension Scheme. Established under the Pension Reform Act to overhaul a legacy defined-benefit system marred by funding gaps and administrative bottlenecks, the modern CPS relies on privately managed Retirement Savings Accounts.
The introduction of multi-fund structures, such as Fund I for younger, risk-tolerant workers, has allowed pension fund administrators to optimise returns by channelling capital into higher-yielding asset classes, thereby bolstering long-term financial security for contributors against macroeconomic pressures.
Explaining the rationale behind initiating National Pension Week 2026 with a focus on young Nigerians, the PenCom chief noted that the future of the Contributory Pension Scheme hinges on early participation rather than late-career planning.
She urged young citizens across the country to rethink their approach to financial planning, emphasising that pensions are shaped by decisions made during active earning years.
Oloworaran stated that PenCom chose to open National Pension Week with the youth rather than retirees or industry executives because the future of Nigeria’s pension system rests with the younger generation. She emphasised that all young Nigerians must collectively think of their future and remain fully engaged in pension matters.
Oloworaran acknowledged the changing work landscape in Nigeria, commending young people in technology, the creative sector, agriculture and freelancing for showcasing their skills to the global market. She assured them that PenCom was adjusting its framework to accommodate modern, flexible work arrangements in place of rigid traditional structures.
She observed that the old pension system was built for a different world involving one employer, one salary, and 35 years in office, promising that PenCom will build a system that fits the modern work young people do.
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