Investment potential of Kazakhstan PAPF on the securities market estimated at $40 mln

/IRBIS, Sep.18, 00/ - The National Securities Commission of Kazakhstan (NSC) informed KASE that volume pension assets invested into non- government securities (securities) totalled KZT10,343.6 mln as of Sep 01, 2000. There were KZT1,521.8 mln of investments in shares and KZT8,821.8 mln in bonds. Securities of foreign issuers are also considered. Considering total value of pension assets (PA) registered on the same date (KZT92,702.8 mln), the share of pension assets invested in securities is 11.2% of total PA or 19.3% of assets of Private Accumulative Pension Funds (PAPF). According to the current regulation, State Accumulative Pension Fund is prohibited from investing funds into securities. Maximal amount of assets invested by PAPF into securities must not exceed 30% that is KZT16,114.3 mln as of Sep 01, 2000. It means that PAPF could invest another KZT5,770.7 mln into securities (or $40.5 mln at the current exchange rate at KASE). This number might be a good potential for PAPF investments in the Kazakhstan market of corporate securities under the assumption of their better attractiveness in comparison to Kazakhstan euronotes or domestic Government Securities.