EPF investment income falls 13pct on weak global markets
Finance Minister Datuk Seri Anwar Ibrahim said the main factor contributing to the decline is the weak performance of the global equity market.
"The 13 per cent decline in the first quarter of 2025 compared with the previous year is not related to the sale of overseas assets intended to support the ringgit value or the increased investment in the domestic equity market.
"This situation stemmed from rising global trade tensions and the uncertain trade policies of the United States.
"Although some central banks have begun easing monetary policies, concerns over global political instability, fiscal imbalances, and regional conflicts continue to dampen market sentiment and affect investor confidence," he said.
He said this in a written parliamentary reply to Datuk Dr Zulkafperi Hanapi (IND-Tanjong Karang), who asked about the main factors that contributed to the decline and whether this is related to the sale of EPF's overseas assets to support the ringgit value and the increased investment in the domestic equity market.
Anwar, who is also the prime minister, said the impact of this situation is reflected in EPF's returns from equity investments, which fell by 23 per cent to RM10.81 billion compared with RM14.02 billion in the first quarter of 2024.
He said equity investments are the main contributor to EPF's investment income, representing 59 per cent of the total investment income in the first quarter of 2025.
"Nonetheless, EPF will continue to adopt a disciplined investment approach guided by the Strategic Asset Allocation (SAA) to ensure sustainable investment performance in line with EPF's objective as a long-term retirement fund," he said.
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