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By Henry Uche
Mr. Femi Odukoya, the Managing Director, Parthian Pension, is a seasoned finance and investment professional with extensive experience spanning the manufacturing, banking and financial services sectors. With over 30 years of hands-on, day-to-day operational exposure in the financial industry, he has held several senior leadership positions across these sectors. Most recently, he served as an Executive Director at CPI for over a decade before assuming his current role as Managing Director of Parthian Pensions Limited.
He is recognised for his strong leadership, analytical depth and commitment to delivering value-driven solutions within the financial services industry. He advocates a “working from the heart” and “leading by example” style.
In this interview, he affirms that a strong risk-management culture and research-driven decision-making, among other strategies, give the company a competitive edge. He also speaks on the legacies he hopes to leave and other topical issues in pension fund management.
How are you ensuring consistent returns on pension contributors’ funds despite market volatility?
First, we recognise that pension funds are long-term assets, so our strategy is built around stability, discipline and diversification rather than short-term speculation. We ensure consistent returns through several key approaches.
First is a disciplined asset-allocation strategy. We maintain a well-diversified portfolio across government securities, high-quality corporate bonds, equities, alternatives and money-market instruments. This diversification ensures that when one market segment experiences stress, other asset classes absorb the impact.
Secondly, we apply active portfolio rebalancing. We continuously monitor market conditions, such as interest rates, inflation and FX trends, and rebalance portfolios to align with risk limits and PenCom guidelines.
We also rely on research-driven investment decisions. Our investment committee uses deep macroeconomic research, scenario analysis and risk-modelling tools to anticipate market cycles. This allows us to reposition early and take advantage of emerging opportunities while avoiding unnecessary risks.
More importantly, we prioritise a strong risk-management culture. We focus on risk-adjusted returns, not just headline performance. This means applying strict limits, conducting stress tests and ensuring our portfolios can withstand volatility without compromising contributors’ long-term goals.
At the end of the day, our priority is to deliver steady, inflation-beating, long-term returns. We may not chase short-term spikes, but we consistently deliver stable growth that protects the value of contributors’ retirement savings.
What measures are in place to protect pension funds from fraud, mismanagement or cybersecurity threats?
Given the realities in developing markets, we treat the security of contributors’ funds as a zero-tolerance area. We have built robust layers of protection across governance, technology and processes.
First, we operate a strong governance and internal control system, with clear separation of duties, multi-level approvals, investment limits and real-time compliance monitoring. No single individual can initiate and conclude a transaction. All activities are audited internally and externally, and PenCom conducts periodic reviews.
We also deploy advanced cybersecurity infrastructure. Fraud-prevention and operational safeguards include active whistle-blowing channels that are independently monitored to enable early detection of suspicious activities.
In addition, we ensure continuous staff training and a strong ethical culture. All employees undergo mandatory training on fraud prevention, cyber hygiene and ethical conduct. Compliance and integrity are non-negotiable.
On business continuity and data protection, we maintain strict data-privacy protocols, ensuring that even in the event of a breach or system failure, contributors’ information and funds remain protected.
In essence, we combine governance, technology and culture to safeguard every contributor’s savings. Security is not something we do occasionally, it is embedded in how we work every day.
Delays in pension payments and turnaround time for retirees
Our processes are streamlined and technology-driven to ensure retirees receive their benefits promptly once all required documentation is complete. Currently, our turnaround time is T+1 day. Our priority is to make the transition into retirement simple, predictable and hassle-free.
PenCom also plays a critical role, with strict rules that all PFAs must follow to ensure timely payments.
Investment portfolio mix and alignment with PenCom’s multi-fund structure
Our investment strategy is fully aligned with PenCom’s multi-fund structure, which ensures contributors’ assets are invested based on age profile, risk tolerance and retirement objectives.
We manage assets across Funds I to VI, each with distinct risk profiles and regulatory asset-allocation limits:
Fund I: Higher equity exposure for younger, more risk-tolerant contributors; Fund II: Balanced growth and stability; this is where most contributors fall; Fund III, more conservative, with higher fixed-income exposure for those closer to retirement.
Fund IV is dedicated to retirees, focused on capital preservation and liquidity and Funds V and VI are Specialised funds with tailored strategies.
This ensures a non-uniform approach, with each fund optimised for its specific demographic.
Our general portfolio mix includes high-grade fixed-income instruments for stability, equities for long-term capital appreciation, alternative investments to hedge inflation, and money-market instruments to maintain liquidity.
Educating contributors about their rights, benefits and fund performance
We combine regular communication, targeted awareness programmes and transparent reporting. Statements of account are easy to understand, with performance updates sent via email, SMS and digital platforms.
We also host webinars, workplace engagement sessions and retirement-planning clinics. Our customer service team guides contributors through their rights and options, while our website and mobile app provide real-time access to account information.
Ensuring transparency in reporting
We provide clear, timely and accessible reporting on fees, returns and fund performance. Contributors receive regular statements that clearly break down balances, contributions, charges and investment returns, supported by fund fact sheets and performance updates across our communication channels.
Innovations and digital tools
We leverage technology to enhance customer experience, including a user-friendly mobile app with real-time access to balances, contributions, fund performance and service requests. Digital onboarding and e-KYC reduce paperwork and speed up service delivery.
Challenges and future plans
As a new PFA, our first task is to build trust, scale operations and improve efficiency. Early-stage challenges include market penetration, brand visibility, talent acquisition and system development.
These challenges shape our future plans, which include expanding distribution, strengthening governance and cybersecurity, introducing innovative retirement products, deepening automation and building a performance-driven investment culture.
Ultimately, our goal is sustainable growth and leadership as a technology-driven PFA delivering exceptional value across the retirement journey.
Positioning for market leadership
Market leadership is not a slogan; it is built on performance, trust and innovation. Our strategy rests on five pillars: superior returns, best-in-class customer experience, relentless innovation, operational excellence and strong partnerships. Our ultimate goal is to be the PFA of choice.
Legacy at Parthian Pensions
It is not about the MD but the brand. I want Parthian to be remembered as a forward-thinking, technology-driven PFA that raised standards in governance, innovation and customer experience, empowering Nigerians to retire with confidence.
Leadership philosophy
Our leadership philosophy is anchored on our core values—Diligence, Integrity, Excellence, Teamwork and Service (DIETS). We believe in clear vision, open communication and empowering teams to perform at their best.
Stress-testing portfolios in a VUCA environment
We adopt a rigorous, multi-layered stress-testing approach against FX volatility, inflation and interest-rate shocks. Continuous monitoring and collaboration with research partners ensure informed decisions that safeguard contributors’ funds.
