LTAT declares 5.35% dividend payout for FY2025

2026-03-12 - 03:54

LTAT chief executive Ashraf Radzi said the returns are the result of a deliberate long-term structural shift in how the fund operates. (LTAT pic) KUALA LUMPUR: The Armed Forces Fund Board (LTAT) has declared a 5.35% dividend for the financial year ended Dec 31, 2025 (FY2025), marking the fourth consecutive year the fund has delivered returns of 5% or more. Defence minister Khaled Nordin said depositors will receive a total payout of RM524.74 million, the highest dividend distribution in eight years. The 2025 dividend will be credited to contributors’ accounts tomorrow. Speaking at a press conference here, Khaled said the armed forces pension fund’s strong and sustained performance underscores its disciplined investment approach and ongoing efforts to optimise its portfolio in a dynamic economic environment. “Some factors affected the economy last year, but LTAT still managed to achieve strong results and a higher dividend than the previous year. “With all the plans that are being implemented, I believe LTAT is on the right track in managing the savings fund of armed forces personnel, which will ultimately generate good returns for them,” he said. LTAT’s dividend rate has gradually increased over the years, from 2% in 2018 to 2.5% in 2019, 3.5% in 2020, 4.1% in 2021, 5% in both 2022 and 2023, and 5.25% in 2024. LTAT chief executive Ashraf Radzi said the returns are the result of a deliberate long-term structural shift in how the fund operates. “We are encouraged by the sustained performance and are confident in the fund’s sustainability. “The results announced today show that the fund is stable and ready for its next phase of institutional growth,” he said. Ashraf said a key focus of LTAT’s strategic roadmap for 2026–2030 will be optimising its investment portfolio, including selective divestments and reinvestments to deploy capital more efficiently into sectors with stronger long-term growth potential and strategic relevance. In a statement, LTAT said its investment direction aligns with Malaysia’s broader national development priorities, particularly in sectors that contribute to national resilience and economic growth. These include investments supporting the defence ecosystem, real estate and pharmaceutical industries, which help strengthen Malaysia’s strategic capabilities while generating long-term economic value.