Pen Trust Ghana Limited, a wholly Ghanaian owned Corporate Trustee Company has held an Annual General Meeting (AGM) the first of its kind in Accra. The company is licensed by the National Pensions Regulatory Authority (NPRA).
The AGM gave reports on the performance of the schemes to scheme members and updated them on latest happenings in the Pensions industry.
Although not very much a regular feature as per the new Pensions act of 2008, ACT 766, Pen Trust used the occasion to educate contributors and other prospective ones that the forum was the right and the best way for Pen Trust to account for its stewardship.
“For us this is the surest way of building confidence in our contributors”, the General Manager of PenTrust, Mrs Victoria Armah disclosed.
PenTrust currently manages two Master Trust Schemes-The Pen Trust Tier 2 Master Trust Scheme and the PenTrust Tier 3 Provident Fund Scheme.
Until 2010 when the new Pensions Law became fully operational, the Pen Trust Tier 2 Master Trust scheme was being handled by the Social Security and National Insurance Trust (SSNIT).
“We started the Tier 2 Master Trust Scheme on September 9th 2013 with one client. Within a spate of three years the Scheme has grown to 883 institutions with 13,769 employees as at 31st December 2015” Mrs. Armah further disclosed.
Total contributions received from the scheme from inception to 31st December 2015 amount to GH¢ 4,715,027.65 with Net Asset Value of GH¢ 5,563,904.44. The scheme made a total return of GHC 915,304.92 as at the same end of 2015, representing 25.35%
As at 31st December last year, Mrs. Armah noted “We received a total of GH¢ 3,801.36 as funds ported into our scheme from other trustees on behalf of some new members and we also ported out paid total benefits of GH¢ 1,015.81”.
The scheme paid a total of GH¢ GH¢106,404.09 as management fees to all stakeholders namely, the Trustee, the Fund Manager, Fund Custodians and the Regulator.
The PenTrust Tier 3 Master Trust scheme is a voluntary Pension scheme which is funded by the employee, employer or both and allows for up to 16.5% in tax waivers.
The scheme started operations on 24th Sept, 2013 with just a client. Unlike the Tier 2 however, the Tier 3 has recorded low patronage mainly because the regime is voluntary. The total number of companies in the scheme as at the end of last year was nine (9) with 346 employees
Total member contributions received from inception to 31st December 2015 amount to GH¢ 1,333,191.61 with a Net Asset Value of GH ¢ 1,458,887.70 as at the same period. As at December 31st 2015, the scheme had made a total return of GH¢ 206,524.79 and that represents 22.51%
On porting, total porting received as at 31st December 2015 was GH¢ 501,835.72; whereas total porting out paid as at 31st December 2015 was GH¢ 72,162.65
Total management fees paid to all stakeholders from inception to the end of December 2015 was GH¢24,934.23
Contributors were also briefed on current industry updates; topical among them was work done on members’ contributions in the Temporary Fund Account [TPFA] which is currently with Bank of Ghana and the National Pension and Regulatory Authority and the requirements of the new amended Pensions law, ACT 883.
The Temporary Pension Fund Account was opened by the NPRA at the Bank of Ghana to keep in custody Tier 2 payments made to SSNIT from January 2010 when the law became operational until such time that companies appointed Trustees.
Members were briefed on how Pen Trust has submitted to the regulator, data for a total of 554 employers representing 10,164 employees for validation and subsequent transfer of funds on behalf of scheme members representing first batch of (Full name…..)TPFA requests put in by PenTrust and covers the period from September 2013 till June 2015.
On ACT 883, members were informed that The National Pensions Act 766, has been amended to Act 883 (2015). The amendment requires that the total 18.5% contributions of all employees who were 50 years and above as at the year 2010 should be paid to SSNIT.
Pen Trust is therefore working to transfer the Second Tier contributions of such employees back to SSNIT and required from employers to also start paying the contributions of affected employees directly to SSNIT.
PenTrust also used the opportunity to launch its Master Trust Voluntary Tier 3 scheme and to educate members on the benefits of a voluntary pensions plan. The General Manager encouraged employers to enrol their employees on the Tier 3 scheme as a key tool to retain their best talents.
PenTrust has presence in all the ten regions and major districts of Ghana, thus members came from all the various locations to participate in the maiden AGM.
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