Enterprise Trustees eyes sustained growth despite global risks

The board of Enterprise Tier 2 Occupational Pension Scheme says it expects the Scheme to sustain its long-term growth trajectory despite rising global uncertainties, citing a stronger domestic macroeconomic environment, disciplined investment management and continued portfolio diversification.

Speaking at the scheme’s annual general meeting, Board Chairman Fiifi Kwakye said the pension fund remains well-positioned to protect and grow members’ retirement savings, even as geopolitical tensions and commodity price volatility continue to pose risks to financial markets.

The outlook follows a strong 2025 performance, during which the scheme’s assets under management increased by 27 percent to GH¢5.99 billion from GH¢4.71 billion.

The growth was driven by both member contributions and investment income, while the scheme delivered a 21.3 percent gross return for the year, outperforming its benchmark of 18.09 percent despite a significant decline in domestic interest rates.

Kwakye said Ghana’s improving macroeconomic conditions provided a favourable environment for pension fund performance during the year.

He noted that gross domestic product expanded by 6 percent, inflation declined from 23.8 percent to 5 percent, the cedi strengthened against major currencies, and improvements in the country’s fiscal position helped restore investor confidence.

“As we look ahead, Ghana’s economy remains positive,” he said, adding that economic growth is projected at 4.8 percent, supported by continued expansion in the services sector, recovery in industry and sustained agricultural production.

He noted that inflation is expected to remain within the Bank of Ghana’s target range, while prudent monetary policy and exchange rate stability should help preserve macroeconomic stability.

However, he cautioned that external risks remain significant.

“Despite this positive outlook, global geopolitical developments continue to pose risks to commodity prices and overall economic stability. Nonetheless, continued fiscal discipline and debt sustainability measures are expected to strengthen investor confidence as Ghana exits the International Monetary Fund programme in 2026,” Kwakye said.

The board said the scheme will continue to strengthen its investment strategy through diversification across permissible asset classes, effective risk management and innovation.

During 2025, the fund reduced its allocation to Government of Ghana securities while increasing investments in equities, collective investment schemes and alternative assets to improve long-term risk-adjusted returns.

Enterprise Trustees also identified governance as a key pillar of future growth.

The board said it remains committed to complying with new corporate governance guidelines introduced by the National Pensions Regulatory Authority and has established an education and sensitisation committee to improve member engagement and consumer protection.

Managing Director of Enterprise Trustees, Joseph Ampofo, said management would maintain a cautious investment approach, prioritising safety alongside returns as market conditions evolve.

“We are still going to continue to be prudent. We are still going to look at the best ways to invest the contributions that we receive to get a much better return to members, but safety is also key.

“We are very particular about ensuring investments are permissible under the law and have been properly appraised by our investment advisers,” he said.