KUALA LUMPUR: The Employees Provident Fund (EPF) reported an investment income of RM38.92 billion for the first half of 2025, a 3 per cent increase from RM37.90 billion a year ago.
For the second quarter alone, income surged 22 per cent to RM20.61 billion, reflecting stronger global equity markets, improved domestic performance and disciplined portfolio management.
Equities remained the largest driver, contributing RM13.77 billion or 67 per cent of quarterly income, while fixed income investments generated RM6.73 billion (33%) for capital stability. Real estate and infrastructure brought in RM0.29 billion.
International investments, representing 39 per cent of total assets, delivered RM12.92 billion or 63 per cent of 2Q income, underscoring the benefits of diversification. EPF’s total investment assets grew to RM1.31 trillion as of June 30, up 8 per cent year-on-year.
Chief executive Ahmad Zulqarnain Onn credited the robust results to strategic asset allocation, high-quality domestic holdings and ESG-focused initiatives. He also warned of headwinds from softening global trade, persistent inflationary pressures and geopolitical risks that could affect market performance in the coming quarters.
On the membership side, EPF added 286,194 new members, bringing total membership to 16.4 million, of which 8.98 million are active. New employer registrations rose to 619,662, while voluntary contributions surged 55 per cent to RM11.68 billion in 1H 2025, reflecting stronger engagement from self-employed and gig workers.
Total contributions climbed 13.8 per cent year-on-year to RM31.21 billion in 2Q, supported by a resilient labour market and an unemployment rate that eased to 3.0 per cent in June.
EPF confirmed ongoing engagements with employers regarding mandatory contributions for non-Malaysian workers, effective for wages starting October. It also reaffirmed that upcoming retirement savings account reforms, set to roll out under the 13th Malaysia Plan, will ensure members’ funds last longer post-retirement without changing existing withdrawal rights. Current members will have the option to voluntarily opt in to the new structure.
Aligned with the government’s Ekonomi MADANI agenda, EPF is prioritising strategic investments in healthcare, aged care, and infrastructure through the MOF-led GEAR-uP initiative.
Despite market volatility, EPF posted an unrealised mark-to-market gain of RM0.44 billion from currency fluctuations, offset by a RM0.18 billion foreign exchange loss on money market instruments.
The fund emphasised its long-term investment horizon and commitment to preserving members’ savings while delivering sustainable returns, even in an uncertain global environment. – BERNAMA
