The Social Security System (SSS) has made its first investment outside the Philippines, placing $200,000 in US government Treasuries, according to newly appointed President and CEO Victor Limlingan.
Limlingan spoke to reporters for the first time since his appointment last week. He said the SSS plans to raise its offshore allocation to as much as 5 percent of its investment reserve fund (IRF) by 2027. He described about 1 percent this year and roughly 4 percent next year as achievable if the initial placement proceeds without problems. The SSS charter limits offshore investments to 7.5 percent of the IRF.
The $200,000 is equivalent to about ₱12.6 million, based on figures reported by BusinessMirror. The SSS reported total investments of ₱1.304 trillion as of end-September, so the placement represents less than 0.001 percent of the portfolio. Government securities make up 49 percent of that portfolio, or ₱644.9 billion, followed by equities at ₱179.9 billion, member loans at ₱174.7 billion and real estate at ₱154.6 billion.
Limlingan said the Treasuries are considered safe assets and offer protection if the peso weakens against the dollar. He told reporters, “It’s a small amount, but we start there.” He also said he expects the dollar to perform better than the yen and the euro. BusinessWorld reported that the dollar-denominated holdings had risen in value as the peso depreciated.
SSS Senior Vice President and Capital Markets Group Head Reginald Candelaria said the agency remains cautious about US assets because it is still in a testing phase.
The SSS has published a bid for an investment consultant to advise its offshore program over the next two years. Apart from US Treasuries, Limlingan said the agency is considering high-dividend companies, particularly those linked to precious metals, as well as more real estate and infrastructure. He said public infrastructure such as rails or bridges could carry more risk and a longer time horizon.
The move follows an August statement by then-SSS President and CEO Robert Joseph de Claro, who said the agency was finalizing a foreign investment policy. At that time, De Claro said 1 percent of the reserve fund would be allocated overseas in 2027 once the board approved the policy, with a goal of reaching 7.5 percent within five years.
Limlingan also addressed a Commission on Audit finding that paper losses on the SSS portfolio rose 245 percent to nearly P40 billion in 2025 from P11.6 billion in 2021. The audit cited the lack of formal stop-loss thresholds. Limlingan said he did not favor an automatic sell-off mechanism and proposed a flagging system instead. He said the SSS is still determining what decline would trigger a review by its Investment Oversight Committee.
Limlingan said the SSS will increase its offshore exposure once the system has been tested.
