GUIDELINES FOR THE PUBLICATION OF RATES OF RETURN ON RSA FUNDS BY PENSION FUND ADMINISTRATORS

Guideline · Finance

Guidelines specify how Pension Fund Administrators calculate and publish rates of return on RSA funds to inform contributors. They target administrators, contributors, and supervisory bodies. This promotes transparency and helps contributors make informed decisions.

GUIDELINES FOR THE PUBLICATION OF RATES OF RETURN ON RSA FUNDS BY PENSION FUND ADMINISTRATORS

What Is This Policy?

PenCom guidelines specifying how Pension Fund Administrators must calculate, validate, and publicly disclose investment returns achieved on RSA Fund I, II, III, and IV to enable contributors to make informed choices.

Who Does It Target?

Licensed Pension Fund Administrators Pension contributors comparing PFA performance PenCom supervision officers monitoring performance disclosure Financial media and analysts

What Does It Aim to Achieve?

Ensure transparency in PFA investment performance reporting, enable contributors to compare PFA returns and make informed switching decisions, and deter misrepresentation of investment performance.

Key Features

Standardised Calculation: Prescribes a uniform methodology for calculating rates of return to ensure comparability across PFAs. Publication Frequency: Rates of return must be published monthly and quarterly at minimum. Audit Verification: Published returns must be verified by the PFA's external auditors. PenCom Publication: PenCom publishes a consolidated comparison of all PFA returns to assist contributors in evaluating options.

Current Status

Rollout Stage: Active Coverage: All PFAs and their four RSA fund classes Beneficiaries: Pension contributors making PFA switching decisions Funding: Not applicable

How to Access

Contributors may access PFA return data on the PenCom website No registration required for public return data PFAs must display their returns prominently on their websites Application method: Access comparative return data at https://www.pencom.gov.ng

Important Terms

Past returns do not guarantee future performance Returns must be published gross and net of fees Misrepresentation of returns is a regulatory violation

Official Resources

Website: https://www.pencom.gov.ng Contact: National Pension Commission (PenCom)

Legal Framework

Issued under the regulatory powers of the National Pension Commission (PenCom) pursuant to the Pension Reform Act 2014 and the Investment Regulations for Pension Fund Administrators. Operates alongside the Financial Reporting Council (FRC) Act 2011 on disclosure obligations, the Securities and Exchange Commission Rules on return reporting, and the Code of Corporate Governance for Licensed Pension Operators. Aligns with IOPS disclosure guidelines.

Original source: Read the source