Two pots showing results, but success hinges on preservation and education
Industry experts say that small, unclaimed pots left behind by members pose a growing challenge that must be managed to protect long-term retirement outcomes.
Preservation
Video Interview: Should the two-pot system result in new investment strategies?
Old Mutual’s Andrew Davison highlights why the two-pot system could lead to better retirement outcomes – and what trustees and advisers need to consider to make it happen.
‘Two-pot system will produce better outcomes for those who avoid the risks’
The type of fund to which a member belongs may improve or undermine the preservation of retirement fund assets, says Allan Gray.
Two pots: Alexforbes predicts R50bn asset outflow in the first year
The impact on capital markets should be minimal considering that most funds hold considerably more than 1% in cash, says Dawie de Villiers.
GEPF and other public sector funds ‘will be part of the two-pot system’
How accessibility and seeding will impact members of defined-benefit retirement funds.
Two pots: fund members must understand the implications of withdrawals
Money in the savings pot should be withdrawn only as a last resort, for absolute financial emergencies.
Preservation should be the top priority in the messaging about two pots
Administrators are concerned there is not enough time for financial advisers and members to understand the implications of the changes.
Two pots: many complex issues still have to be finalised
A number of complex issues on how the proposed “two pots” retirement system will work in practice still have to be clarified, and fund members who are expecting immediate access to their savings […]
Two pots: many complex issues still have to be finalised
A number of complex issues on how the proposed “two pots” retirement system will work in practice still have to be clarified, and fund members who are expecting immediate access to their savings […]
Two-bucket system only part of the solution to increasing pensions at retirement, says Alexander Forbes
Alexander Forbes says it supports National Treasury’s proposed “two-bucket” system, as its latest Member Insights highlighted non-preservation as the main reason only 6% of fund members can expect to retire with a replacement […]
A call for preservation of all retirement funding contributions
In the wake of calls from unions for legislation to be changed to allow workers to access their pension fund contributions in times of financial distress, other voices call for stronger measures to […]
