The Social Security System (SSS) has defended its stock market investments amid scrutiny over unrealized losses, saying its equity portfolio has generated ₱204 billion in realized gains and dividend income since 1968.
The state-run pension fund said temporary declines in share prices should be weighed against long-term investment returns, noting that losses are not realized unless shares are sold below their purchase price.
Among its major holdings, SSS reported at least ₱36 billion in realized gains from PLDT Inc., compared with ₱17.6 billion in unrealized losses. The telecommunications company continues to provide an estimated dividend yield of 8%.
SSS also reported ₱3.7 billion in realized gains and dividend income from Universal Robina Corp. (URC), which currently offers a 7.5% dividend yield.
Its investment in Security Bank generated ₱9.7 billion in realized gains, with the stock providing a 4.88% dividend yield.
The pension fund said the three companies remain suitable long-term investments because of their established earnings records and business fundamentals.
SSS receives an estimated ₱9 billion in annual dividends from its equity holdings, providing recurring income despite fluctuations in stock prices.
Over the past two years, the fund has directed additional equity investments toward Philippine Stock Exchange Index (PSEi) constituents, real estate investment trusts (REITs) and preferred shares as part of efforts to diversify its portfolio and manage risk.
SSS said it avoids speculative investments and regularly reviews its holdings in accordance with the Social Security Act of 2018 and internal governance policies.
The agency also cited higher benefit payments as evidence of its financial capacity.
Benefit payouts rose 19% to ₱173.45 billion in the first half of 2026 from ₱145.73 billion a year earlier.
SSS also released ₱7.4 billion in additional benefits to 4.1 million pensioners under the second tranche of its Pension Reform Program, aimed at easing the impact of inflation and higher energy costs.
The Social Security Commission, the agency’s policymaking body, oversees investment performance and risks through two independent committees that meet monthly.
SSS maintained that its financial position remains strong enough to meet future obligations to members, pensioners and their families.
