March 01, 2012
Press release
Pension assets investment portfolio – February 2012
Starting from January 01, 2012 accumulative pension funds switched on the multiportfolio
system of pension assets management suggesting contributors’ participation in their pension
accumulations management.
Multiportfolio system includes three different strategies of pension assets management
(investment portfolio):
1. Conservative;
2. Moderate;
3. Aggressive.
Presently two investment portfolios are offered to contributors – moderate and conservative.
Aggressive strategy will be introduced in 2015.
Every investment portfolio varies in financial instruments selection, yield rate and risk level
depending on a contributor’s choice.
Conservative investment portfolio
Structure of conservative investment portfolio does not include shares. It basically contains
Government securities of the Republic of Kazakhstan and deposits and as result it is less exposed
to risks.
Moderate investment portfolio
Moderate investment portfolio includes upto 30% of shares. Basically the portfolio contains
financial instruments with fixed income (Government securities of the Republic of Kazakhstan
and foreign government securities, bonds of local and foreign emitters and international financial
organizations, deposits in banks of RK etc).
Also our Fund’s moderate investment portfolio includes allocated refined gold (upto 10%) kept
in JP Morgan bank in London.
Structure of moderate investment portfolio should be well-balanced to avoid sharp fluctuations
of return and earn stable income of various instruments like shares and fixed-income instruments.
Actually moderate portfolio represents previous structure of the Fund’s investment portfolio.
Aggressive investment portfolio
Aggressive portfolio is supposed to include mainly shares (upto 80%), so this portfolio’s return
would be high. However this portfolio would be exposed to higher risks because prices of shares
fluctuate considerably.
All contributors under age of retirement have right to choose investment portfolio to keep their
pension accumulations on their own, i.e. choosing investment strategy from aggressive to
conservative.
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Moderate investment portfolio of GNPF
Table 1. Structure of PA moderate portfolio by shares.
Securities
Government securities of RK
Share on 01.02.2012
40,25%
Share on 01.03.2012
40,40%
Foreign Government securities
6,31%
7,87%
IFO
5,20%
4,21%
Corporate bonds of Kazakhstani emitters
14,36%
13,92%
Foreign corporate bonds
1,65%
1,60%
PPN
2,76%
2,70%
Shares and depository reciepts of Kazakhstani emitters
1,08%
1,07%
Foreign shares and depository reciepts
1,46%
1,39%
Refined precious metals
8,74%
7,83%
Deposits
15,34%
17,12%
REPO
1,75%
0,00%
Cash and other assets
1,11%
1,87%
Total
100,00%
100,00%
Government securities of the Republic of Kazakhstan
According to the Table 1, moderate portfolio of pension assets investment as of March 01, 2012
is basically represented by the Government securities of RK. Share of these securities is 40.4%
of portfolio including securities of Ministry of Finances with the share of 93.09%.
Foreign Government and IFO securities
As of March 01, 2012 shares of foreign government securities and IFO bonds are 7.87% and
4.21%.
In February 2012 share of foreign government securities increased by 1.56 p.p. due to US
Treasuries additional acquisition.
Deposits in second tier banks of the Republic of Kazakhstan
Deposit share is 17.12%. The deposit share in the portfolio was increased by 1.78 p.p. Deposits
are allocated in following banks: Kazkommertsbank, Sberbank Rossii, VTB Bank, ATF Bank,
Eurasian bank, Caspii Bank , Zesna Bank and BankCenterCredit.
Corporate bonds of Kazakhstani emitters
Pension assets of the moderate portfolio of GNPF are also allocated into bonds of Kazakhstani
companies with the state participation:
“SAMRUK KAZYNA” SWF” JSC – management holding for state assets of the Republic of
Kazakhstan under the government control;
“KazMunaiGaz” JSC – National petroleum company;
“Bank for Development of Kazakhstan” JSC – state bank of Kazakhstan;
“Kazakhstani mortgage company” JSC – operator of secondary market for mortgage, refunding
of long-term mortgage creditors;
“Food Contractual Corporation” NC” JSC – national company providing purchase, formation,
account, storage, refreshing, transportation, sale of the state’s grain resources and grain products
as well as other functions determining by the Government of RK;
“Mangystau Distributive Power Supply Company” JSC – one of the largest power supply
companies.
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Share of corporate bonds decreased by 0.44 p.p. and came to 13.92%. This decrease was caused
partially due to sale of KazMunaiGaz bonds. Also bonds of Kazkommertsbank and Halyk Bank
nominated in USD were purchased.
Corporate bonds of foreign emitters
Share of corporate bonds of foreign emitters in the moderate portfolio is 1.60%. There were
neither sales nor acquisitions in this section. Investments include bonds of following foreign
emitters:
Citigroup Inc. – the largest international corporation, one of the world’s leaders in financial
service;
JP Morgan Chase Bank – one of the oldest and most affluent financial organizations in the world.
Quartered in New York the financial institution is investment and commercial banking leader;
“Rossel’hozbank” OJSC – basis of the national credit and financial system of Russian agrarian
complex.
Shares and depository receipts of emitters of RK
Shares and depository receipts in the moderate portfolio amount to 1.08%. These investments
include Shares and depository receiptsof Kazakh companies such as:
Halyk Bank of Kazakhstan – second in assets volume backbone commercial bank of the country;
DM Kazmunaigaz – Kazakhstani petroleum company. The joint stock company is a subsidiary
of KazMunaiGaz National Company JSC;
Kazakhtelecom – one of the largest telecommunication companies in Kazakhstan with the status
of the national communication operator.
Foreign shares and depository receipts
Share of foreign shares in the portfolio amounted to 1.39% decreasing by 0.07 p.p. It was caused
by sale of shares of Schlumbaerger LTD. Investments include shares of foreign companies as
follows:
Freeport-McMoRan Copper & Gold Inc. – American and the world's lowest-cost copper
producer and one of the world's largest producers of gold;
Deutsсhe Bank – the largest bank group of Germany. The bank is in investment banking and
commerce services mainly;
Deutsche Telekom – German telecom company is Europe’s largest and the third in the world;
Rio Tinto PLC – a world leader in finding, mining and processing the earth's mineral resources;
Sberbank – Russia’s largest bank.
Precious metals
Investments into precious metals are represented by investments in gold. Gold share in the
moderate portfolio decreased by 0.9 p.p. and came to7.83%. This decrease was caused by partial
sale of gold in order to fix income.
Table 2. Structure of PA conservative portfolio by currency types.
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As you can see from the Table 2, investments into instruments nominated in KZT came to 72.5%;
USD – 18.3%; EUR – 0.4%; RUB – 7.2%; BRL -1.4% and GBP – 0.2%.
Conservative portfolio of GNPF
Table 3. Structure of PA conservative portfolio by shares.
Securities
Government securities of RK
REPO
Cash and other assets
Total
Share on 01.02.2012 Share on 01.03.2012
97,04%
97,56%
0,00%
0,00%
2,96%
2,44%
100,00%
100,00%
As you can see from the Table 3, the conservative investment portfolio of pension assets is
represented by the Government securities of RK and cash on investment account. As of March
01, 2012 share of the Government securities is 97.56%, cash – 2. 44%.
Table 4. Structure of PA conservative portfolio by currencies.
Currencies
share
KZT
100%
Conservative portfolio PA
100%
As you can see from the Table 4, as of March 01, 2012 the conservative portfolio includes
financial instruments nominated only in the National currency.
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