GPIF posts a 2.7% gain for the first fiscal quarter
The Government of Japan investment fund posted a gain of 2.68% for its first fiscal quarter ended June 30, bringing the value of the Tokyo-based fund’s portfolio to a record 191.6 trillion yen (1 , $ 74 trillion).
Foreign holdings of the fund were the main driver of GPIF’s roughly 5,000 billion yen in quarterly earnings, as progress in COVID-19 vaccination raised expectations of a return to economic normalcy, the president said on Friday. GPIF, Masataka Miyazono, in a statement.
But domestic stocks declined slightly amid signs of increasing pandemic infections in Japan, he said.
Further helped by the weakening of the yen against other major currencies during the quarter, the 25.4% of GPIF’s portfolio in foreign stocks generated an investment gain of just under 4 trillion yen, while its 24.7% allocation to foreign bonds brought in 887.3 billion yen.
The roughly 50% of GPIF’s portfolios allocated to domestic stocks and bonds contributed just over 100 billion yen in gains, with the fund’s 25.4% weighting in Japanese bonds generating returns of 208.9 billion yen. yen and its 24.5% allocation to national equities recording a drop of 105.1 billion yen.
The fund’s allocations to private market assets – infrastructure, real estate and private equity – edged up 6 basis points to 0.76% of the portfolio, or about 1.5 trillion yen.