Japan’s GPIF posts $28 billion Q1 investment loss on market turbulence

TOKYO (Reuters) -Japan’s Government Pension Investment Fund (GPIF) reported on Friday an investment loss of 3.75 trillion yen ($28.13 billion) for April-June, the second consecutive quarter of negative returns, as economic slowdown fears hit global stock markets.

The world’s largest pension fund lost 1.91% for the three months, trimming its overall assets to 193.126 trillion yen, it said in a statement.

The loss widened from 1.1% in the previous quarter, which represented the fund’s first quarterly loss in two years.

During the April-June period, the Dow Jones Industrial Average dropped 11%, while Japan’s Nikkei stock average fell 5%.

The GPIF’s foreign stock portfolio posted a loss of 5.36%, while its Japanese stock portfolio had a loss of 3.68%.

Its Japanese bond portfolio posted a loss of 1.31%, while its foreign bond portfolio gained 2.71%.

As of end-June, Japanese bonds accounted for 25.65% of its portfolio and foreign bonds accounted for 25.70%. Foreign equities accounted for 24.12% and domestic equities 24.53%.

($1 = 133.3000 yen)

(Reporting by Makiko YamazakiEditing by Shri Navaratnam and Muralikumar Anantharaman)