Premium, ARM, Stanbic Pensions Lead in CPS’ Returns

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Premium Pensions Limited, ARM Pensions Limited and Stanbic IBTC Pensions have continued to show leadership in the country’s Contributory Pension Scheme (CPS) in terms of returns to contributors as well as in unit price of active contributors called Retirement Savings Account (RSA) Fund 11.

The RSA Fund II is also called default fund for all active contributors who are below 50 years of age.

According to a report, an analysis of performance of the Pension Fund Administrators(PFAs) from data obtained in the industry showed that Premium Pension’s cumulative returns since inception was 433.75 per cent, above industry average of top eight PFAs of 368.45 per cent; while the unit price as at year end 2020 was 5,3375.

ARM came second with 404.06 per cent cumulative returns since inception, also above average of 368.45 per cent and unit price of 5.0406 at the end of 2020, while Stanbic came third with 392.42 per cent and 4.9242 unit price.

The order of performance included FCMB Pension, PAL pension, TRUSTFUND pension, Leadway Pension and Sigma Pension.

On the RSA Fund IV, that is retiree fund, Stanbic IBTC Pension, ARM Pension and PAL Pension led in retiree fund otherwise called RSA Fund IV.

RSA FUND IV is also called Fund for Retirees only. That is people who are already retired and collecting their pension from the PFAs on monthly basis

Stanbic Pension is leading with 374.09 per cent cumulative returns since inception with a unit price of 4.7409, followed by ARM Pension with 323.49 percent cumulative returns and unit price 4.2349, while PAL Pension came third with 295.51 percent cumulative returns and unit price of 3.9551.

Other PFA on order of performance in Fund IV, included Leadway Pension, Premium Pension, FCMB Pension, SIGMA Pension and TRUSTFUND Pension.

The objective of the CPS is to ensure that every person who worked in either the public service or the private sector receives his retirement benefits as and when due; and to assist improvident individuals by ensuring that they save in order to cater for their livelihood during old age.