Japan’s Government Pension Investment Fund (GPIF) reported its first quarterly loss in six quarters, as global bond prices declined and the yen strengthened. The fund lost ¥5.253 trillion ($33.3 billion) in the three months through September, reducing its total assets to ¥314.4 trillion.
The loss came despite a 3.71% gain in Japanese stocks. However, the fund suffered significant setbacks in other areas, including a 6.52% loss on foreign bonds, a 1.80% loss on domestic debt, and a 1.86% drop in overseas equities.
The GPIF, one of the world’s largest pension funds, had maintained positive returns for the past year and a half. The recent downturn highlights the challenges of managing a massive portfolio amid volatile global markets.