The $53.7 million 10% dividend paid out to contributors of the Samoa National Provident Fund, (SNPF) effective July 1st, represents a lot of firsts for the Fund.
It’s the highest ever bonus ever to be paid out to the 20-thousand plus SNPF members in the history of the Fund.
The previous high dividend distributed by the SNPF was 9% in 2004.
It’s also the first time that a cash reward, represented by the 3% bonus this year is given to members to do as they please. No strings attached.
In previous years, cash payments from the Fund to its members was endorsed by the Board with the blessing of government to assist with recovery work as a result of natural disasters such as the 2009 Tsunami and the most recent, Cyclone Evans.
The increase of almost 46% in total dividends from $37 million last year to over $53 million this year is a telling story on the SNPF’s stupendous success in the 12 month period ending June 30th 2017.
But with “God’s grace,” says SNPF Chief Executive Pauli Prince Suhren, “we have secured the financial resources to fund the 10% dividend which includes the unprecedented 3% cash bonus members.”
“It’s just rewards for the Fund members;” he added “As administrators of the Fund, our ultimate target is to maximize returns that will benefit stakeholders in particular the Fund members and contributors.”
“Through the Grace of God, our off-shore investment with our partners in Australia, Black Rock Firm came through with our investment returns in the United States sky rocketing,” continued the SNPF Chief.
“As a direct result and with the Board approval, $12.2 million from our off-shore investment was approved to fund part of the dividends portfolio.
“From my observation, USA President Donald Trump played a hand initiating reforms in the US which yielded lucrative returns for the Fund investments there.
“For your information, 6% of the Fund is dedicated to our off-shore portfolio.”
“And we are continuing to look at more overseas investment opportunities which are viable and promises lucrative returns for the Fund which will be translated eventually to benefits for the members and contributors.”
One such bold move to maximise investment opportunities will see S8amoa hosting the Pacific Islands Investment Forum (P.I.I.F.) next year.
After its inaugural Forum in the Cook Islands this year, SNPF’s bid to host the Forum was endorsed.
P.I.I.F. is a Forum made up of provident, superannuation and trust funds across the Pacific with assets of more than A$70 billion (T$135b). And the SNPF Samoa’s is a key and pioneering member.
“Membership of the Board means we have a powerful voice in the decision making and maximizes our ability to look for opportunities to grow our members’ contributions through pan-pacific co-investment projects,” said SNPF Board Member Namulauulu Sami Leota who accompanied Pauli to the Cook Islands meeting.
“We are currently exploring multiple new prospects for co-investment with our fellow members. Bringing home the conference and hosting it next year means great exposure for our country and economy – something our government has always underscored in order to increase awareness of what Samoa has to offer.”
And at the end of the day, Pauli realises that without the support of the Board and most importantly SNPF staff, the landmark 10% dividend would not have been possible.
“We have set a new threshold with the new record dividend but I remain firm on my conviction that with the Grace of God complemented by the commitment and support from staff, there is no limit,” he said when asked if SNPF members can expect a higher dividend payment in the coming year.
“We do what we can do and our members and people will understand,” he concluded.
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