Despite fears of mass withdrawals, early data shows most members are preserving their two-pot savings – a shift that could leave South Africans up to four times wealthier in retirement.
For smaller employers facing rising compliance and governance costs, umbrella funds usually deliver better cost-efficiency and reduced fiduciary risk.
Strong market returns and rising balances have prompted many retirees to reduce withdrawals – a trend ASISA encourages annuitants to maintain.
Old Mutual’s Johann Els says rising personal inflation could quietly erode household finances and retirement savings – making it vital to save early and more.
In exchange for their admissions, they sought to substitute their debarments with an undertaking to repay R470m in client losses.
Discovery’s analysis shows that women retire with 21% fewer assets than men – driven by a 24% pay gap, unequal caregiving burdens, and conservative fund choices.
Fewer people are pausing contributions or dipping into investments, yet many doubt they’ll have enough for a comfortable retirement, according to the Savings & Investment Monitor.
The FSCA finds wildly inconsistent withdrawal charges under the two-pot retirement system, with some members paying up to R750 per transaction.
The SpendTrend25 report reveals how high interest rates and stagnant incomes are pushing consumers towards credit, loyalty rewards, and early retirement withdrawals.
Sanlam reports that most withdrawals came from financially strained members in mid-life, with little evidence that funds were used to reduce debt. Instead, spending patterns suggest pressure to cover everyday expenses.
Danie van Zyl of Sanlam Corporate Investments warns that allowing access to retirement components in retrenchment cases might jeopardise long-term savings and place added pressure on trustees.
Sales of recurring-premium savings policies continued to improve, while lapses of risk policies declined.
Watch Moonstone Update for an overview of some of the stories covered in the past week’s Investment Indicators and Moonstone Monitor. This weeks update focuses on the budget Income tax brackets, medical tax […]
The Bureau of Market Research discloses what South Africans have done with their savings benefit withdrawals since September 2024.
A DebtBusters study provides interesting insights into how South Africans in different income bands prioritise their spending outside of debt repayments.
Despite record-breaking global temperatures and escalating climate risks, most South African retirement funds lack climate policies – raising concerns about the long-term sustainability of their investments.
It says 47% of members intend to make future claims – with 34% of those who have already claimed planning to do so again.
