Kazakh National Bank's national pension fund rated at 'A++'
Azerbaijan, Baku, July 15 / Trend S. Suleymanov /
The rating agency "Expert RA Kazakhstan" assigns JSC National Bank of Kazakhstan reliability rating 'A' (extremely high (the highest) level of reliability), the rating agency said.
"The main factors that have had a positive effect on ratings include high capital adequacy (0,089 April 1, 2010), the low level of risk of the investment portfolio (the share of risky assets in the current value of the pension assets was 41.9 percent April 1, 2010), " the press-service said.
It was reported that many features provide leading market positions of National Bank of Kazakhstan. Thus, the market share in the first quarter of the year reached 30.6 percent
"Investment activity of National Bank of Kazakhstan is characterized by low levels of losses from investments in defaulted securities, their share in the portfolio worth 0.21 per cent as of April 1", rating agency Expert RA Kazakhstan analyst Arman Zhakhin said.
Moreover, the Agency experts have noted a high proportion of liquid instruments in the portfolio structure and relatively high returns from the placement of funds, over a long period of time - 3 -5 years, and over the past year (rate of return for 2009 - 17.7 percent)
A high proportion of investments in securities of National Bank of Kazakhstan's affiliate - 9.4 percent and relatively high exposure to currency risk (the proportion of pension assets denominated in foreign currency, in the first quarter amounted to 18.3 percent) were among the factors that exerted a restraining influence on the rating.
National Bank of Kazakhstan has rendered pension services since January 1998. As of June 1, 2010 Fund ranks first in the ranking in terms of pension savings. As of June 1 retirement savings fund amounted to 614.2 billion tenge, pension contributions - 450 billion tenge, the amount of net investment income - 148.8 billion tenge, the amount of equity capital - 22,4 billion tenge.