Online Reporter
Nelson Gahadza
Zimbabwe’s pensions industry significantly increased its investments in equities in the fourth quarter of 2025, buoyed by strong gains on the Victoria Falls Stock Exchange and stability on the Zimbabwe Stock Exchange.
This comes as retirement funds sought to preserve value and improve long-term returns.
According to the Insurance and Pensions Commission (Ipec) pensions industry report for the 12 months ended December 31, 2025, quoted equity investments rose 32 percent to US$698.73 million from US$528.85 million in the previous quarter.
The asset class’s share of total pension sector assets also climbed to 23 percent from 19 percent in September, reflecting growing confidence in listed securities.
In its report, Ipec said the increase in quoted equity holdings was a reflection of the good performance of the VFEX and the stability of the ZSE, as pension funds adjusted portfolios in response to market conditions.
Ipec said the VFEX’s market capitalisation surged by 64 percent during 2025 to US$2.1 billion, up from US$1.28 billion in December 2024, driven by price gains in key counters and sustained demand for hard currency-denominated assets.
Turnover value on the bourse almost doubled to US$111.05 million during the year from US$56.94 million in 2024, while trading volumes jumped to 1.46 billion shares, signalling broader participation and improved market depth.
“The VFEX maintained a positive performance trajectory up to the end of December 2025, supported by continued foreign currency-denominated listings and sustained investor interest in offshore-facing assets,” Ipec said.
