Retirement Savings Cost (RSC) and choosing an Umbrella Fund

In October 2018, Old Mutual conducted a survey to better understand how employers and intermediaries compare and choose umbrella funds. The results highlighted the importance of total costs within a basket of criteria that offers value to our clients.

The Association for Savings and Investment South Africa (ASISA) has since standardised the cost disclosure used by commercial umbrella funds to be effected no later than the 1st of September 2019.

The new standard commits members of ASISA to present all costs (based on certain assumptions) relating to umbrella fund solutions in a standardised manner, enabling employers to compare like with like when considering quotations from different companies. It is therefore an indication of the costs relevant at company level and not at individual umbrella fund member levels.

Old Mutual Corporate has made material available to brokers and employers so that Old Mutual’s approach, and support, of this new standard can be better understood.

If you would like us to provide you with more information, or to receive a competitive quote with these new cost disclosure standards, then feel free to contact Michael Rose at [email protected]