Why the need?

My first job when I joined the industry in 1986 was to assist with the valuation of defined benefit pension funds. 

In the 1980s defined benefit funds were replaced by defined contribution ones.  Most members applauded this as they had more control over their investments.  When JSE was delivering returns of over 20%, the lack of financial knowledge of members was masked. 

The implication of the financial risk being passed onto members was not appreciated

As the years rolled on, we found more and more members running out of money when they retired.  There were many reasons for this:

  • They chose bad portfolios
  • They didn’t preserve their savings when they retired
  • They chose inappropriate annuities

The default regulation are an attempt to remedy this.  They will make a difference.

However, the catalyst make a real difference is to have a proper retirement benefits counselling strategy in place. 

Kenny Meiring MBA CFP

I am an independent retirement benefits counsellor.  I can help funds put proper programmes in place that will make a difference.  I can help members make better choices.

I am available in Cape Town and Johannesburg.

Call me

I can help