Summary of service providers and services

Liberty Life – Fund Administrator

  1. Maintain detailed records of each Member, pensioner and deferred pensioner, including the following items:
    • contribution history divided into current and voluntary additional contributions,
    • fund interest accrued,
    • current share of fund,
    • withdrawal benefit,
    • the amount of any other benefits payable to a Member or his or her dependants in the event of a claim,
    • Member details including salary, age and gender.
  1. Calculate and pay all benefits due in terms of the Rules of the Fund.
  2. Adhere wherever possible to the standard through times (times measured from date of receipt of complete information): 10 working days to issue of request for a tax directive, plus 5 working days from receipt of the tax directive.
  3. Where payment of a death benefit has to be withheld in terms of Section 37C of the Pension Funds Act, the completion date will be recorded as the date on which the final benefit due is notified to the client.
  4. Monthly contribution update: 15 working days after receipt of the contribution details.
  5. General update following the advice of a salary review: 15 working days.
  6. Issue Member benefit statements: 30 working days after receipt of the year end data
  7. Obtain tax directives, make payment of the appropriate tax and prepare and issue all tax certificates in respect of claims on the Fund.
  8. Maintain a bank account in the name of the Fund into which all receipts will be banked and from which all debits to the Fund will be drawn.
  9. Calculate the monthly amount available for investment and transfer this to one or more registered insurance companies or other investment managers appointed by the Trustees.
  10. Prepare the necessary annual returns to the Registrar of Pension Funds and the Reserve Bank in terms of the Pension Funds Act of 1956, as amended.
  11. Prepare annual benefit statements for every Member of the Fund.
  12. Prepare data for periodic actuarial valuations of the Fund as required by the Actuary, where appropriate.
  13. Maintain records of transactions on the Fund and prepare on an annual basis financial statements for subsequent audit by the Fund’s auditors as appointed by the Trustees.
  14. Perform the functions required of the Fund administrator in terms of the housing loan agreements between the Fund, the University and one or more registered banking institutions.
  15. Communicate with Members as regards current and projected values, and options available on exit.

 

NMG – Benefit Consultants and Actuaries

Actuarial

  1. Periodic statutory actuarial investigations of the Fund at least triennially, including an analysis of surplus, review of pension increases and examination of the matching of assets and liabilities. The results of this investigation shall be reported to the Trustees and the University, and to the Registrar of Pension Funds.
  2. All actuarial calculations or advice involved in the payment to members of the benefits defined in the Rules of the Fund, including advice on the level of increase to be granted to pensioners and Members in receipt of disability income benefits.
  3. Advice on the reassurance of death and disability benefits, and the level of funding required by the Fund in order to remain solvent.

 

Benefit Consulting

  1. Counselling of Members in the form of retirement seminars.
  2. Communication with Members regarding the accumulation of adequate retirement capital and the options available to them in this regard. Members will be offered individual advice and counselling in these matters.
  3. Maintain the Rules of the Fund and any subsequent amendments, and arrange for their registration and approval by the Registrar of Pension Funds and the South African Revenue Service.
  4. Prepare booklets outlining the main benefits provided by the Fund. The languages, cover and design of the booklet shall be tailored to meet the requirements of the Trustees.
  5. Prepare recommendations to the Trustees in respect of the division of benefits to dependants and beneficiaries, as and when required. Organise and attend periodic meetings of the death benefits sub-committee to resolve such claims.
  6. On an annual basis perform a review of the benefit structure and risk premium rates of the Fund.
  7. Prepare the agenda and package for Trustees meetings, including the minutes of the previous meeting, the claims report and revenue accounts for the previous quarter. Attend and minute meetings of the Trustees when required, up to four times a year. Circulate draft minutes to all the Trustees for approval.
  8. Advise the Trustees of changes in legislation that could affect the Fund and/or the Members.
  9. Draft Member Bulletins summarising issues discussed following each Trustees’ meeting. Distribute copies to all Members.
  10. Prepare general announcement notices or letters to Members and pensioners regarding changes in the benefits provided by the Fund at times as agreed by the Trustees and NMG.
  11. Oversee the preparation of the annual accounts. Examine drafts and ensure preparation and signature of final statements within the period required by the Financial Services Board.
  12. Offer incidental legal advice, as required.

 

Riscura – Investment Consultants

  1. Assist the Trustees in developing and formulating an Investment Policy Framework that is consistent with the investment objectives of the Fund and will set the framework within which all future investment decisions will be made.
  2. Assist the Trustees to ensure that the investment objectives defined in the Investment Policy Statement meets the true investment needs of all of the members.
  3. Assist the Trustees in defining a suitable asset allocation policy taking into account the primary investment objectives of the Fund, the members’ liability profile and the level of defined risk budget.
  4. Defining the risk budget that should be set for each individual mandate, thereby ensuring reliability in the process of allocating the available risk in addition to the efficient allocation of resources to achieve the Fund’s stated investment objectives.
  5. Assist the Trustees in defining a suitable set of investment structures taking into account the investment objectives and asset size of the Fund.
  6. Assist the Trustees in constructing suitable benchmarks that reflect the investment objectives of the Fund and clearly communicating these to the appointed asset managers in the form of investment mandates.
  7. Assist the Trustees in appointing suitable asset managers and or selecting appropriate investment portfolios that meet the investment objectives of the Fund.
  8. Provide an investment monitoring report on a quarterly basis.
  9. Review the investment philosophy and strategy for the Fund on an ongoing and proactive basis at least annually, but more frequently where changes or other factors require this.
  10. Assist the Trustees in the implementation of the investment policy and strategy statement.
  11. Assist the Trustees in the monitoring and management of the investment policy and strategy statement.
  12. Prepare a Quarterly Investment Monitoring Report in terms of which the investment returns of each portfolio are measured against the benchmarks of the portfolio as well as peer groups, using relevant industry investment surveys.

Riscura – Investment Administrator

  1. Ensure the investment ledger of the Fund is maintained and all assets are properly accounted for.
  2. Update investment ledger daily with withdrawals and deposits.
  3. Update the investment portfolio of the Fund with all deductions and investment returns.
  4. Provide daily prices for all administered client products to the Administrator of the Fund.
  5. Manage cash flows to and from the underlying asset managers in accordance with client mandate.
  6. Ensure daily price movements move within benchmark.
  7. Process any rebalancing instructions or restructuring of portfolios, as instructed by the Trustees.

 

PWC – Auditors

The auditors examine the Fund’s financial statements once a year to make sure that the Fund’s financial situation is above board and that the information reported in the financial statements is correct and accurate.