National Employment Savings Trust, London, recorded a boost in assets of 66.7% to £9.5 billion ($11.8 billion) over the year ended March 31.
Assets grew from £5.7 billion.
The U.K. government-backed multiemployer defined contribution plan, known as a master trust, said in its annual report published Thursday that it is now managing assets on behalf of 9.1 million participants and 803,000 employers. That compares with 7.9 million participants and 720,000 employers a year earlier.
NEST's assets were boosted by average inflows of £400 million per month in new contributions over the year.
NEST's main default strategy, the 2040 Retirement Fund, delivered an average annualized return of 4.6% after fees over the past five years.
In the past 12 months, NEST's investments in bonds increased to £542 million from £159 million. Foreign currency reserves increased to £78 million from £18 million. Equities decreased to £43 million as of March 31, from $45 million a year earlier.
The largest proportion of NEST's assets were invested in commingled funds, at £8.7 billion, up from £5.5 billion a year earlier. Within commingled allocations, equity investments were £4.8 billion, increasing from £2.9 billion a year earlier. Bonds stood at £2.5 billion up from £1.8 billion a year earlier. Real estate investments were £640 million, increasing from £425 million a year earlier. Cash investments were £320 million, down from £362 million a year earlier, the report said.
"With forecasts showing one-third of the working population is expected to have a NEST pension pot by the late 2020s, our focus is to build upon the success of auto enrollment and help our members, both through the COVID-19 crisis and the long term, prepare for a better retirement," CEO Helen Dean said in a news release accompanying the report.
