Retirement Fund Services: Default Regulations

The Minister of Finance issued the Default Regulations, in terms of Section 36 of the Pension Funds Act 24 of 1956, which prescribe conditions for default investment portfolios, default preservation and portability, and annuity strategies for Retirement Funds. All new default arrangements that came into operation on or after 1 September 2017 must comply with the requirements set out in the Default Regulations. Existing default arrangements must be fully aligned to the Default Regulations by 1 March 2019 and the Financial Sector Conduct Authority (FSCA) will examine funds’ compliance with the Default Regulations from 1 March 2019. Click here to download the Government Gazette.