To use social security fund to invest in different development project that have direct impact to the members of the fund and local community is a critical element of an effective poverty reduction strategy especially for developing countries as members will have so many benefit as the social security fund expand its income and portfolio Specifically in this study the assessment performance of investment in Social Security Funds has made with case study of NSSF and its have specific objectives such as to identify the pattern of portfolio selection for the NSSF investment, to determine the factors influencing the management choice of portfolios for social security fund investment , to examine the profitability of the investment of the social security fund , to assess the riskiness of the Social Security fund in their investment activities and lastly to suggest improvement in investment management of NSSF. A sample of respondent has been chosen including managements of NSSF and some members, data has been collected both primary and secondary data such financial statement of 2003-2008 including NHIF as a comparison base. Followed by analysis of the data and presentation of the findings, The result has shown there is profitability of the funds even though its have some challenges like inflation and political interference on fund investment activities

A Dissertation Submitted in Partial Fulfillment of the Requirements for the Award of the Degree of Master of Science in Accounting and Finance (MSc-A&F) of Mzumbe University