NGX Pension Broad Index Outperforms All-Share Index with 59.72% Return in 2025

The NGX Pension Broad Index, a benchmark for pension-compliant equity investments, delivered an impressive 59.72% return in 2025, outpacing the NGX All-Share Index (ASI), which recorded a 51.19% gain over the same period. The performance reflects heightened investor confidence and increased market activity in the Nigerian equity space.

The index closed the year at 2,917.84 points, rising from 1,826.89 points at the end of 2024, signaling robust growth in pension-eligible equities. Analysts note that this remarkable rise underscores the strong potential of well-managed pension portfolios to deliver competitive, risk-adjusted returns, even in a dynamic market environment.

Unlike broader market indices, the NGX Pension Broad Index tracks only equities that comply with National Pension Commission (PenCom) guidelines, making it an essential tool for Pension Fund Administrators (PFAs). Its composition spans diverse sectors including financial services, telecommunications, consumer goods, industrials, and energy, providing balanced exposure for retirement portfolios.

Experts say the outperformance of over 850 basis points compared to the ASI highlights the growing role of pension assets in driving capital formation and supporting economic development. Transparent, rules-based indices like this help investors construct long-term portfolios while meeting regulatory requirements.

As Nigeria’s pension industry continues to grow, the NGX has emphasized its commitment to working with PenCom and the PFA community. Through market education, data analytics, and tailored pension-focused products, the exchange aims to empower investors, enhance retirement outcomes, and deepen participation in the domestic equity market.

source: vanguard