QUEZON CITY — The Social Security System (SSS) assured members, pensioners, and the public on Oct. 15 that it manages contributions prudently to protect the pension fund and sustain benefit payments.
SSS said it invests only in companies with a track record of strong earnings and stable business performance. It also maintains a diversified portfolio across asset classes to spread risk and help offset losses in some investments with gains in others.
Although stock prices fluctuate, SSS continues to earn dividends from its equity holdings, contributing an estimated ₱9 billion to its annual net income. Dividends are payments companies distribute to their stockholders from their earnings.
SSS also clarified that a “paper loss” refers to an investment’s decline in market value before it is sold. The decline remains unrealized unless the asset is sold at a loss. Such market movements do not automatically mean members’ contributions have been lost or that pension payments are at risk, as prices may recover over time.
The agency said its financial performance has supported higher benefit payouts. From January to June 2026, SSS paid ₱173.45 billion in benefits, up 19 percent from ₱145.73 billion during the same period in 2025.
SSS also implemented the second tranche of its Pension Reform Program, releasing an additional ₱7.4 billion in pension benefits to 4.1 million pensioners to help them cope with inflation and higher energy costs.
The agency said it regularly reviews its investment strategy and follows the Social Security Act of 2018 and its internal policies to safeguard the pension fund and ensure its long-term sustainability. PR