SENIOR director of investments of the National Insurance Fund (NIF) Audrey Deer-Williams indicated this week that the NIF which lost some $6 billion in the national debt exchange (NDX) of 2013 is firmly back in growth mode.

The fund whose total holdings of securities amounted to $46 billion ahead of the swap, took a haircut on $30.62-billion worth of bonds swapped. Deer-Williams said then that the value could be recovered.

The director stated this week that “the current draft results show that not only has the NIF recouped lost ground since the National Debt Exchange (NDX) but has grown over $13 billion since financial year 2013 when net assets were $63.48 billion.”

The NIF is the source of funding for old-age pensions and other payments for Jamaicans who have contributed to the National Insurance Scheme (NIS), as well as benefits for the indigent. Annual contributions and accumulated reserves are invested, with money disbursed to the National Insurance Scheme (NIS) as needed.

Most of the pension fund’s assets are held in government securities. The rest is invested in real estate, resort properties, and other vehicles.

Deer-Williams said that latest unaudited accounts show the net asset value of the fund at more than $76.71 billion ending October 2015.

The amount represents an increase of $5.22 billion (or 7.3 per cent) since the start of the financial year or an increase of $9.31 billion (or 13.8 per cent) since the start of the 2014/2015 financial year.

The director said the fund has seen a return on its invested assets of approximately 9.5 per cent for the latest financial Year ending March 2015.

Year to date, she said, the single largest ‘change’ to investment assets has been the extensive renovation works being finalised on the Braco property in Trelawny.

The costing, which has been within budget, is approximately US$23.5 million.

For the financial year ending March 2015, the fund’s property rental inflows were in excess of $200 million which Deer-Williams said was similar to the year before.

Now inflows from Braco which opens for the winter season promises to significantly improve inflows.

Year to date ending October 2015, rental inflows have amounted to more than $138 million, $10 million over what was earned during the similar period last year.

Total investment income for the year ending March 2015 amounted to over $4.6 billion, an increase of more than $255 million over fiscal 2014.

The NIF is finalising its budgetary preparations and projections for the 2016/2017 period.

Deer-Williams noted, “although we are unable to share exact numbers with the public at this time (as this will have to be approved by the Ministry of Finance and Planning as well as Cabinet), we anticipate a better period for the portfolio, especially considering that our newly renovated Braco property will be operational for this period.

“Portfolio-wise, we believe that there are numerous positives on the horizon. Within the equity market we have already been seeing very encouraging upward movements over at the Exchange and with stability in the local economy, it is anticipated that many investors will return to the market before long. The fund is also looking to participate within upcoming listings slated for the 2016 period.”

On Braco, she said, “Within the real estate segment, after an extensive period of renovations, the fund is extremely delighted to be very near the point of reintroducing our Braco property back on the market with our new partners, the Melia Group. Much is expected of the Melia Braco Village, not only from the standpoint of investment returns, but also from an economical perspective, as the property will be employing many of our local residents on a full-time basis.”

Deer-Williams added that the fund is also “looking forward to increase its exposure to high- quality corporate bonds that are expected to come to the market within the upcoming year”.