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Tag Archives | PFA


PFA report – Funds do not act in keeping with the spirit of the TCF

The Pension Fund Adjudicator published her annual report last week. Besides the statistics, indicators and conclusions about challenges faced, the report shares a few case studies as an illustration of these challenges. One specifically highlighted is that funds and administrators are not faring well with regards to the Treating Customers Fairly (“TCF”) outcomes. “Members of […]

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PFA Annual report – Substantial increase in pension fund complaints

“The Office of the Pension Funds Adjudicator (OPFA) has contributed immensely in the country’s priorities of social protection by ensuring consumers of pension fund products and services are empowered and that there are accountability mechanisms”, Mr AM Sithole, FSCA Commissioner, commented in the recently released PFA Annual Report. Tito Mboweni, Minister of Finance, stated:“…from the […]

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TCF and Causal Event Charges

The Pension Fund Adjudicator (PFA) recently ruled on an investor’s complaint regarding the excessive causal event charges. The PFA found in favour of the product house, but was rather scathing in her comments on the current system when weighed up against the expected Treating Customers Fairly (TCF) outcomes. She stressed the urgency for finalisation and […]

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PFA Ruling on Fund Returns

It is standard practice that Ombuds do not rule on what investors may deem to be unsatisfactory returns. This ruling is interesting for two reasons: The complainant alleged that excessive fees caused the poor returns and it is the first ruling that we are aware of where Treating Customers Fairly feature. The complainant submits that […]

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Withholding of Pension Withdrawal Benefits

A recent determination by the Pension Funds Adjudicator concerns an employer’s decision to instruct the administrator of the pension fund to withhold the complainant’s withdrawal benefits after terminating his service. In their response to a complaint in this regard, the employers held that their actions sprang from losses incurred as a result of the complainant […]

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Causal Event Charges Back in the Spotlight

The latest determination by the Pension Fund Adjudicator (PFA) brought the levying of penalties on retirement annuities, when changes are effected, to the fore again. I was unable to obtain a copy of the actual determination, but extracted the following information from articles in Personal Finance and on News24: In 2011, the client asked Liberty […]

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Positive News from PFA

The Pension Fund Adjudicator published her annual report last week. It contains some very positive indicators, as well as concerns for the industry, and the public. In the message from the Minister of Finance, Pravin Gordhan, quotes the following statistics which point at major improvements in the handling of complaints: The Office of the Pension […]

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Consumer Protection and the Regulators

Retirement Annuities are making the headlines, again, but for the wrong reasons. The most recent determination by the Pension Fund Adjudicator (PFA) made the headlines in Personal Finance, and was followed by a similar story in Moneyweb a few days later. In the latest finding, the PFA asked an independent actuary to calculate the penalties […]

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