JAPAN - Japan's $1.4trn Government Pension Investment Fund (GPIF) returned -2.94% in the quarter ended June 30, equating to a loss of $42bn in assets.
In the first quarter of fiscal year 2010, a loss on market investments of 3.61% was partially offset by gains of 0.33% in Fiscal Investment and Loan Programme (FILP) bonds, a type of Japanese government bond.
The quarterly loss comes after the fund posted four straight quarters of positive returns in fiscal year 2009. It ended the year with returns of 7.91%.
The GPIF invests 71.08% in domestic bonds, including a 17.02% allocation to FILP bonds. It allocates 10.87% to domestic equity, 8.03% to international bonds, 9.11% to international stocks and 0.91% to short-term assets.
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