In this newsletter:
Benchtest 11.2015, Namfisa reporting deadlines, RFS safety net, fund governance and investment policy, dread disease cover, industry under pressure and more...
The interesting conclusion is that even the worst performing typical pension fund investment manager managed to outperform the JSE Allshare index over all periods barring the 3 months to 31 October where it underperformed and the year-to-date where it performed on par with the JSE Allshare Index. Does this prove the adage wrong that equities outperform all other conventional asset classes over the long-term?
An industry in the pressure cooker
Funds will be classified into a stage of intervention based on NAMFISA’s supervisory and regulatory activities, such as on-site inspections. Each stage of intervention envisages increasing levels of intervention and reporting and compliance requirements by Namfisa. Download the circular here…
Do avoid being sucked further into NAMFISA’S enforcement processes. Trustees should ascertain that their fund meets at least all the above requirements.
Administrative penalties -
26. (1) Without derogating from section 37 of the Act, a person who fails to
(a) to furnish such return; or
(b) to transmit or deposit such scheme, report account, statement, other
The name ‘pension fund’ in the first instance suggests that the fund should be about providing for a pension upon retirement. However the other two key needs that should be considered is death and disablement. Besides the fact that members and their beneficiaries are often seriously affected as the result of death or disablement of the member, employers also have a strong moral compulsion to ensure that provision is made for such life changing events mostly by means of the company’s pension fund.
How much is good governance worth to you as a trustee – can you afford to pay less for compromising on any of these credentials?
SPV’s and UIM’s
Circular on approved bonds
Payment of contributions by employer
Next industry meeting
Minutes of this meeting can be downloaded here...
Amendments to Labour Act
Read the newsletter here…
Read the full article by Hetty Joubert in FA News of 7 September 2015, here...
Extracted from an interview in Moneyweb of 11 December 2015, here...