By Linda Kwanjana
NBM Pensions Administration Limited (PAL) says its impressive 34.5% investment income recorded in the year 2024 was largely driven by strong performance in the financial sector on the Malawi Stock Exchange (MSE).
Speaking during a client engagement seminar in Blantyre on Tuesday, NBM PAL Chief Executive Officer William Mabulekesi described the company’s performance as a significant win for members, especially in the face of a challenging economic environment marked by high inflation and persistent foreign exchange shortages.
“The stock exchange was buoyant for some counters, particularly in the financial sector, and this is what boosted the 34.5% return. This is not just a number; it means our members are getting a real return on their pension savings,” said Mabulekesi.
He noted that the return outpaced the average 2024 inflation rate of 32%, giving members a positive real gain of 2.5%.
“If you give an investment income which is less than inflation, it means members are being short-changed. This means our members are getting real returns and experiencing significant growth in their pension funds,” he added.
NBM Capital Markets Limited, a key partner to NBM Pensions Administration, also reaffirmed its commitment to delivering sustainable returns despite ongoing economic volatility.
NBM Capital Markets Limited Business Development Manager, Nenauthe Nkoloma, said their investment strategy is built on consistent, research-led decisions that aim to protect and grow pension assets.
“We make sure our clients don’t go home with an eroded value of their pension fund. Despite high inflation and market uncertainty, we have triumphed through sustainable investing and are proud to deliver real returns that beat inflation,” she said.
One of the attendees, Wisdom Mpinganjira, Human Resources Business Partner at Nacala Logistics, praised NBM Pensions for its transparent approach and sound investment strategy, which he said has boosted confidence among employers and employees.
“The engagement has been important because employees need to understand how their pension is invested and the benefits of the returns. A 34.5% return, beating inflation, is a bonus to employees. It shows how efficient National Bank is in managing our pensions, and that builds our confidence,” said Mpinganjira.
The Blantyre seminar was the second in a series of nationwide engagements aimed at updating both prospective and existing clients on recent developments in pension fund management.
