Japan’s state pension fund, the world’s largest, posted a loss of ¥683.2 billion ($4.5 billion) on total assets during the three months through September as its holdings of domestic debt slumped by a record.
The Government Pension Investment Fund lost 0.3% during the quarter, the fund said in Tokyo Thursday. Total assets rose slightly to ¥219.32 trillion due to a transfer of funds from the government’s account that manages its pension, according to a spokesperson. Domestic bonds lost 2.7%, the most since the fund’s predecessor started investing in 2001. Japanese stocks returned 2.5%.
Strength in the dollar against the yen supported overseas assets. The GPIF’s holdings of shares abroad lost 0.1%, while its non-Japanese bonds lost 0.8% as the dollar gained more than 3% against the yen during the period.
With about one-fourth of the fund’s assets consisting of domestic bonds, the latest loss illustrates the growing risk of holding the securities as the Bank of Japan slowly moves away from its ultra-loose monetary policy. Yields on benchmark 10-year bonds hit a fresh decade high this week after the central bank adjusted its stimulus to allow long-term yields to edge higher.
“We will make investments from a long-term perspective and fulfill our fiduciary duty to leave funds to support our pension system,” Masataka Miyazono, president of the fund, said in a statement.
The fintech firm is cementing its status in the workplace savings space with its latest ESA offering, which employers can integrate into their existing benefits package.
Wealth managers offer unique ideas for couples to grow closer emotionally and financially.
Survey findings suggest increased sense of financial security and more optimistic 2025 outlook, while highlighting employers' role in ensuring retirement readiness.
Falling prices for some securities within the $4 trillion state and local government debt market spotlight how the push to shrink spending is sending shockwaves across the US.
With a majority find getting new clients a challenge, report suggests fee transparency as a way to foster trust among the unadvised.
Blue Vault Alts Summit highlights the role of liquidity-focused funds in reshaping advisor strategies
From 'no clients' to reshaping wealth management, Farther blends tech and trust to deliver family-office experience at scale.