The net asset value of Trinidad and Tobago's Heritage and Stabilisation Fund (HSF) totaled US$5.139 billion, as at December 31, 2022, which was a 9.06 per cent increase for the Fund's first quarter.
The net asset value of the HSF ended its 2022 financial year on September 30, at US$4.712 billion, adding US$427.3 million between October 1 and December 31, 2022.
According to the executive summary for the Fund's first quarter, the Government contributed US$182.2 million to the Fund on December 23, 2022.
The HSF's recovery in the first quarter of its 2023 financial year, followed a US$751 million decline in its net asset value in its 2022 financial year.
As at September 30, 2022, the HSF's net asset value stood at US$4.712 billion, down from US$5.463 billion as at September 30, 2021. That decline of US$751 in the net asset value of the Fund was its ever first annual loss.
In the foreword of the 2022 annual report, HSF chairman, Ewart Williams, said the board of the Fund decided to rebalance the Strategic Asset Allocation in August 2022, "in order to improve the Fund’s performance or, at minimum, preserve its capital through a period of high market uncertainty."
That rebalancing involved US$250 million reduced the Fund's allocation to risky equity investments in favour of safer, more liquid positions in its fixed-income mandates.
The HSF was established with a Strategic Asset Allocation comprising: 25 per cent US short-duration fixed income; 40 per cent US core domestic fixed income; 17.50 per cent US core domestic equity and 17.50 per cent non-US core international equity.
As at the end of December 2022, 21.77 per cent of the Fund was held in US short-duration fixed income, 31.38 per cent in US core domestic fixed income, 21.48 per cent in US core domestic equity and 18.62 per cent in non-US core international equity. Some 6.75 per cent of the HSF was held in US dollar fixed deposits as at December 2022.
