Portfolio Structure

At Sigma Pensions, we are committed to optimizing the objective of each Fund Under Management (FuM) which are clearly defined in terms of returns and risk in the light of investment constraints. To achieve the above, we focus on our ability to strategically allocate FuM along permissible asset classes. This is based on our understanding of the market expectations of the various asset class performance in the context of the prevailing economics, as empirical evidence has shown that strategic asset allocation explains 94% of the return variability.

The pension contributions received on behalf of our clients are invested in government bonds, corporate bonds, money market, equities and other permissible instruments through our Sigma Fund in accordance with the provisions of the Pension Reform Act, 2014 and the guidelines issued by the National Pensions Commission (PenCom). We started investment activities in May 2006 and today have assets under management of over $1 Billion.

 

We believe in employing a mix of fundamental investment styles, combining Growth Investing and Value Investing philosophies to meet investment objectives. Our approach to security selection emphasizes investment decisions underpinned by disciplined assessment of the fundamental value of securities and growth prospects.

Asset Allocation and diversification form an important layer of risk management in our investment process. Hence, portfolio construction and investment decisions are guided by risk-return tolerance and liquidity requirements.

Sigma Investment Process

The funds under management comprise of the following: RSA Fund I, RSA Fund II, RSA Fund III, RSA Fund IV (Retiree fund) and a number of defined benefit schemes.