Manila: State-run Social Security System (SSS) said it continues to support the local capital market but is also eyeing investments in foreign markets to diversify its assets and strengthen the long-term sustainability of the pension fund.

According to Philippines News Agency, SSS President and Chief Executive Officer Robert Joseph de Claro announced that the state insurer's improved financial position now allows it to explore more investment opportunities while maintaining its significant contributions to nation-building through domestic market investments.

Data revealed that as of June 30, SSS holds PHP1.27 trillion in consolidated investments, spread across various asset classes within the domestic market. The breakdown includes PHP629.05 billion in government securities, PHP179.44 billion in equities, PHP154.56 billion in property, PHP151.90 billion in member loans, and PHP96.34 billion in corporate notes and bonds.

SSS reported that these investments generated a total of PHP27.16 billion in actual investment income, translating to an annualized return on investment of 4.53 percent. It's important to note that these figures do not include realized gains from the sale of equity securities classified as fair value through other comprehensive income (FVTOCI).

'We are very conservative, but at the same time, we are also in a very good position now because of our surplus, that for the first time, we have an opportunity to help in nation-building,' de Claro stated.

He emphasized that exploring overseas investments is not intended to reduce SSS' stake in the Philippine market. Instead, it aims to enhance its existing domestic investments by achieving greater diversification across markets and asset classes.

SSS has set a goal to increase its reserve fund to PHP2 trillion by 2030, thereby ensuring sustainable social security protection for its current and future members and pensioners.