According to AFN's data the amount of net pension assets in Kazakhstan as of June 1 of 2004 is $2,969.2 m.

/IRBIS, Sergey Yakovlev, Andrey Tsalyuk, June 22, 04/ - According to the data of Kazakhstan agency for regulation and supervision of financial market and financial organizations (AFN) amount of the net pension assets (PA) in the country (amount of pension assets excluding liabilities on the charged commissions, accounts payable on pension payments) equaled by June 1, 2004 to KZT 406,100.5 m. or $2,969.2 m. at the weighted average stock exchange's rate determined on that date. Comparable indicator as of May 1 of 2004 was KZT 397,607.0 m. or $2,877.3 m. In May of 2004 accumulative pension funds' (APF) net assets increased by 2.1% in tenge and by 3.2% in terms of dollar. In April of 2004 assets increased by 2.1% in tenge and by 2.6% - in terms of dollar. By the beginning of June of 2004 total sum of PA was KZT 406,212.7 m., KZT 382,519.1 m. of them were invested. Within April of 2004 8 organizations, which carried out investment management of pension assets (OCIMPA) and 16 APF were functioning in the country. PAMC Ak niet CJSC - had no assets to manage. Two funds - APF Halyk Bank of Kazakhstan CJSC and SAPF, which actually are the same as OCIMPA - managed assets by themselves. Stake of PA under these funds' management, reached by the beginning of June of the current year 47.8% of all PA of the republic (as of May 1 this indicator was 48.0%). The table below characterizes assets volumes of each fund (KZT m. unless otherwise specified) and distribution of assets of APF on OCIMPA as of June 1 of 2004. In parentheses stakes of funds and OCIMPA as of May 1 of 2004 are given for comparison. ------------------------------------------------------------------------------ Total assets ---------------------- Net % of all pension PA of Name of PAMC / APF assets Volume Kazakhstan Invested ------------------------------------------------------------------------------ PAMC ABN AMRO ASSET MANAGEMENT CJSC ------------------------------------------------------------------------------ КAPF Phillip Morris Kazakhstan JSC 885 887 0.22 (0.22) 887 APF KAPITAL JSC 3,478 3,482 0.86 (0.82) 3,329 PAF ABN AMRO JSC-KaspiyMunai Gas 28,901 28,927 7.12 (7.10) 28,859 ----------------------------------- ------- ------- ------------- -------- Total 33,265 33,297 8.20 (8.15) 33,074 ----------------------------------- ------- ------- ------------- -------- PAMC ZHETYSU JSC ------------------------------------------------------------------------------ APF Ular Umyt CJSC 70,630 70,654 17.39 (17.38) 68,596 Total 70,630 70,654 17.39 (17.38) 68,596 ----------------------------------- ------- ------- ------------- -------- PAMC BTA Asset Management CJSC ------------------------------------------------------------------------------ PAPF Kazakhstan JSC 11,782 11,806 2.91 (2.90) 11,493 POAPF Kurmet JSC 17,102 17,109 4.21 (4.20) 16,948 OAPF OTAN JSC 6,957 6,959 1.71 (1.68) 6,947 ----------------------------------- ------- ------- ------------- -------- Total 35,841 35,873 8.83 (8.78) 35,388 ----------------------------------- ------- ------- ------------- -------- NPAMC Activ-Invest CJSC ------------------------------------------------------------------------------ PAP Valut-tranzit fund CJSC 16,512 16,521 4.07 (4.01) 16,410 ----------------------------------- ------- ------- ------------- -------- Total 16,512 16,521 4.07 (4.01) 16,410 ----------------------------------- ------- ------- ------------- -------- PAMC BESTINVEST CJSC ------------------------------------------------------------------------------ APF SENIM CJSC 17,995 18,018 4.44 (4.42) 16,728 APF Korgau JSC 5,903 5,903 1.45 (1.47) 5,863 OPAPF Nefte-Gas Dem CJSC 10,410 10,416 2.56 (2.56) 10,379 ----------------------------------- ------- ------- ------------- -------- Total 34,308 34,338 8.45 (8.45) 32,970 ----------------------------------- ------- ------- ------------- -------- PAMC NURTRUST CJSC ------------------------------------------------------------------------------ APF Narodniy pensionniy fond JSC 8,959 8,962 2.21 (2.19) 8,838 ----------------------------------- ------- ------- ------------- -------- Open-ended PAPF named 1,089 1,089 0.27 (0.27) 1,059 after D.A. Kunayev JSC ----------------------------------- ------- ------- ------------- -------- Total 10,048 10,051 2.47 (2.46) 9,897 ----------------------------------- ------- ------- ------------- -------- OCIMPA ALFA-TRUST JSC ------------------------------------------------------------------------------ APF Kazakhmys JSC 11,426 11,429 2.81 (2.82) 11,294 ----------------------------------- ------- ------- ------------- -------- Total 11,426 11,429 2.81 (2.82) 11,294 ----------------------------------- ------- ------- ------------- -------- APF, which independently manages its assets ------------------------------------------------------------------------------ APF of Halyk Bank of Kazkahstan JSC 11,426 11,429 2.81 (2.82) 11,294 State accumulative pension fund 11,426 11,429 2.81 (2.82) 11,294 CJSC (SAPF) ----------------------------------- ------- ------- ------------- -------- Total 190,720 190,619 47.95(48.19) 181,259 ------------------------------------------------------------------------------ TOTAL pension assets 397,607 397,536 100.0 386,211 ------------------------------------------------------------------------------ The biggest APF by the end of May by volume of PA (in descending order of PA sum): APF of Halyk Bank of Kazakhstan JSC, SAPF and APF Ular Ymit CJSC. Thus, APF of Halyk Bank of Kazakhstan JSC retained the leading position. By the volume of managed assets APF Halyk Bank of Kazakhstan JSC is the leader (24.68% of all PA under management), second place belongs to SAPF (23.09%). The third place belongs to PAMC ZHETYSU JSC (17.4%). Most capitalized OCIMPA as of June 1 of 2004 (by the size of shareholders equity): APF Halyk Bank of Kazakhstan JSC (KZT 1,167.8 m), SAPF (KZT 1,059.9 m), PAMC ZHETYSU JSC (KZT 556.7 m). APF Halyk Bank of Kazakhstan JSC occupies the first place in terms of authorized capital amount (KZT 1.0 bn) as well. APF KAPITAL JSC has the highest speed of assets increase in May (6.3% in tenge). In absolute expression APF of Halyk Bank of Kazakhstan JSC is leading by the largest sum of assets increase. Its assets increased within the month by KZT 2,694.2 m., APF Ular Umyt CJSC took second place (growth by KZT 1,561.9 m ), while SAPF took the third place - (growth by KZT 737.1 m) in this category. Invested assets on financial instruments as of June 1 of 2004 were distributed in the following way (with the purpose of clearness of tendencies in parentheses data for two previous months given in reverse chronological order, % from full PA): - mid- and long-term domestic GS of the Ministry of Finance (KZT ) - 15.57% (16.47%; 16.32%); - eurobonds of Kazakhstan sovereign debt (USD) - 0.97% (2.44%; 3.49%); - short-term domestic GS of the Ministry of Finance and the National Bank (KZT ) - 32.79% (28.56%; 26.11%); - bonds of domestic executive bodies of Kazakhstan (USD) - 0.18% (0.18%; 0.19%); - shares of foreign issuers (foreign currencies) - 3.13% (3.29%; 3.53%); - corporate bonds of foreign issuers (foreign currencies) - 0.74% (0.69%; 0.50%); - foreign states' securities - 1.62% (5.34%; 7.90%); - securities of international financial organizations (foreign currencies) - 2.04% (2.58%; 2.37%); - Kazakhstan companies' shares - 4.63% (4.72%; 4.89%); - Kazakhstan companies' bonds - 24.84% (25.34%; 25.23%); - deposits and deposit certificates (KZT ) - 7.67% (7.53%; 7.35%); - deposits and deposit certificates (foreign currencies) - 0.00% (0.00%; 0.00%). Funds on investment accounts and other assets, according to AFN's presented data, as of June 1 were 5.82% (2.86%) of total PA, that in monetary terms equals to 23,641.6 (11,369.5) m. tenge. Presented data allows to outline several trends of pension assets management. One of them is extremely negative reaction of investors to eurobonds of sovereign debt as their prices are sharply falling. The next is decrease of mid- and long-term domestic bonds of the Finance Ministry because of their absence at the primary market. Notable fact is more cautious than in previous months attention to shares of foreign issues. Most likely pension managers learnt lesions from past mistakes when traders preferred to lower positions in foreign shares lacking possibilities to hedge risks with options. Weakening interest to securities of foreign issuers is general trend on the pension assets market. Increase of investment limits to these instruments in first six months inspired traders. However, AFN data indicated that in most cases no positive results were reached. Most interesting fact is rebirth of the National Bank and MEKKAM notes as main instruments. These securities are having negative real yield both on primary and secondary markets considering current inflation level. Speculative potential is also limited considering their short-term nature and low liquidity at secondary market. The second major investment tool were corporate bonds of Kazakhstan issuers. Currently corporate bonds emissions are recording highest growth rates. Most probably this instrument will be the major investment target for pension assets this year. Tenge denominated deposits should be note as well. Market participants suggest that this instrument is compete with bonds and very popular among pension assets managers. [2004-06-22]