State-run Government Service Insurance System (GSIS) said Sunday net income in the first 10 months of 2023 jumped 117 percent to P80 billion from P37 billion a year ago.
It said in a statement the improved profit stemmed from strong revenues, mainly income from financial assets, which surged 344-percent year-on-year to P29 billion.
Income from investment property climbed by 142 percent to P8 billion from the revaluation gains of about 12,000 accounts appraised as of October this year.
Income derived from general insurance activities expanded by 7 percent to P6.2 billion as a result of an active marketing drive. Social insurance premiums grew by 8 percent to P10 billion arising from increased membership and salary adjustments.
“We have maintained prudence in our expenses, which totaled P8.2 billion, marking an 8-percent reduction compared to the budget set for October 2023,” GSIS president and general manager Jose Arnulfo Veloso said.
“In fact, during the first 10 months of 2023, the pension fund’s expense loading was at 3.4 percent, way below the 12 percent Charter limit,” he said.
He said that as of end-October 2023, the total assets of the fund reached P1.6 trillion, representing a 4.4-percent increase from last year.
GSIS also extended its fund life to 35 years or until 2058, an increase of five years from the last assessment in 2021.
“A longer fund life enables us to fulfill our responsibility of delivering benefits to our members and retirees on time. As a financial institution, our primary focus is to increase the contributions of our members by seizing strategic investment opportunities,” Veloso said.
The GSIS continues to align its investments with the country’s “growth story” focusing on critical sectors like real estate, infrastructure, food, energy and mining, he said.
Veloso said that by the end of the first nine months of the year, the total investment in these domestic sectors amounted to P1.3 trillion, representing an 11 percent growth. Global investments witnessed a 5 percent increase at P185 billion.
Veloso said GSIS remained committed to supporting the four key sectors or the ‘4Ps’: pabahay (housing), power (energy), pagkain (food) and pagamot (healthcare).
“These sectors are fundamental to the government’s socio-economic agenda. Investing in them equates to a direct investment in the welfare and future of our nation and the Filipino,” he said.