AFRIKAANS: Die doel van hierdie studie is om die beleggingsamestelling van aftreefondse in Suid-Afrika te ontleed en die beleggingsopbrengste van aftreefondse teen verteenwoordigende markindekse te vergelyk. Die invloed van voorgeskrewe beleggingsvereistes op die beleggingsamestelling van aftreefondse is ook bepaal. Aftreefondse speel 'n toenemende belangrike rol in die voorsiening van sosiale sekuriteit. Hierdie belangrike rol word weerspieël deur die groei in die aantal fondse, asook die aantal fondslede en die verskeidenheid voordele wat aftreefondse bied. Aan die einde van 1998 het aftreefondse in Suid-Afrika bates ter waarde van R604,8 miljard beheer, wat aftreefondsinstellings van die grootste en sekerlik die invloedrykste finansiele instellings in Suid-Afrika maak. Die belangrikste oorweging van aftreefondse is om die bydraes deur lede en werkgewers te administreer en na selektief gekose beleggingsmedia te kanaliseer om sodoende oor die langtermyn bevredigende opbrengste te verdien, wat weer groter voordele vir fondslede beteken. Bestuursrade van aftreefondse is gemoeid met die bestuur van fondsbates op so 'n wyse dat die hoogste opbrengs vir 'n geskikte vlak van risiko bereik word. Die empiriese studie van hierdie ondersoek word beperk tot die twintig grootste selfgeadminstreerde aftreefondse in Suid-Afrika volgens batewaardes in 1998. ‘n Vraelys is na die geselekteerde aftreefondse uitgestuur om hierdie aftreefondse se beskouing oor belangrike aspekte rakende die belegging van fondse te verkry. Die data wat in die empiriese ontleding gebruik word, is gebaseer op Jaarverslae van die Registrateur van Pensioenfondse, ontledings deur aktuarisse en administrateurs, inligting uit die finansiele jaarstate en die beleggingsbeleid van die twintig grootste selfgeadministreerde aftreefondse en verteenwoordigende markprysindekse. Die twintig grootste selfgeadministreerde aftreefondse het die verteenwoordigende markindekse vir die periode onder oorsig oortref. Die 25% belastingkoers wat op netto huurinkomste en bruto rente-inkomste gehef word, het egter 'n negatiewe invloed op die kontantvloei van aftreefondse. Tydens die periode onder oorsig het die gemiddelde beleggingsopbrengs van die twintig grootste selfgeadministreerde aftreefondse die verbruikersprysindeks op ‘n jaarlikse grondslag geklop. Dit dui daarop dat die bestuursrade daarin kon slaag om die uitwerking van inflasie op die beleggingsprestasie van aftreefondse en die pensioenaanpassing wat daarmee saamhang, tee te werk. Uit die ontleding van die beleggingsportefeulje het dit duidelik geblyk dat die beleggingsperke nie ‘n invloed op die beleggingsamestelling van aftreefondse het nie omrede die aftreefondse sonder moeite aan die voorgeskrewe perke voldoen het. In Eenvormige benadering kan egter nie by die beleggingstrategie van omskrewe bydraefondse toegepas word nie. Een van die oogmerke van die bestuursraad is om te verseker dat die belange van die fondslede te aile tye beskerm word. ‘n Beleggingstrategie om in alle lede se behoeftes te voorsien moet derhalwe spesifiek vir die bepaalde aftreefonds ontwikkel word. ENGLISH: The purpose of this study was to analyse the asset allocation of retirement funds in South Africa and to compare the investment returns of the retirement funds with related market indexes. The effect of prescribed investment limits on the asset allocation of retirement funds was also determined. Retirement funds play an increasingly important role in providing social security. This important role is reflected by the growth in the number of funds, as well as the number of fund members and the benefits which retirement funds provide. At the end of 1998, retirement funds in South Africa controlled R604,8 billion worth of assets, which make retirement institutions the largest and potentially the most influential financial institutions in South Africa. The most important task of retirement funds is to administer the contributions of members and employers and to channel these funds to selective chosen investment media to ensure that in the long-term acceptable returns are earned, which in turn ensures greater better benefits for members. Boards of management of retirement funds are required to secure benefits for their members. They are required to secure the assets of the fund, whilst maximising investment returns within acceptable levels of risk. The empirical study of this research was limited to the twenty largest self-administered retirement funds in South Africa, according to asset values in 1998. A questionnaire was sent to these twenty funds to establish their views relating to important aspects regarding the investment of funds. The data used in the empirical research was based on the Annual Reports of the Registrar of Pension Funds, analysis of actuaries and administrators, information from annual financial statements, the investment strategies of the twenty largest self-administered retirement funds and related market indexes. The twenty largest self-administered retirement funds managed to beat the related market indexes for the period under review. The 25% tax rate paid on net rental income and gross interest, had a negative effect on the cash flow of retirement funds. During the period under review, the rate of return for the twenty largest self-administered retirement funds beat the consumer price index on a yearly basis. This shows that boards of management managed to counter the effect of inflation on the investment performance of retirement funds and on the purchasing powers of pensions related thereto. The analyses of the investment portfolio clearly indicated that investment limits do not have an effect on the composition of the assets of retirement funds as retirement funds complied to the investment limits without difficulty. A uniform approach can, however, not be implemented for the investment strategy of defined contribution funds. One of the objects of the board of management is to ensure that the interest of its members is protected at all times. An investment strategy which satisfies the needs of the members should be designed to suit each specific retirement fund. / Dissertation (MCom (Financial Management))--University of Pretoria, 2006. / Financial Management / unrestricted

Retirement is a matter that seems to be underestimated by the majority of South Africans; as a result, they underestimate planning financially for it. Three phases, namely pre-retirement, close-to-retirement and post-retirement, were identified for the purposes of this study, together with the five different steps in the practical retirement planning process that merge into three core areas. The Organisation for Economic Cooperation and Development’s (OECD’s) first international pilot study on financial literacy resulted in the South African Financial Services Board (FSB) performing a national baseline survey during 2011 to determine South Africans’ financial literacy levels. The questions selected from the national baseline survey dealing with some of the elements within the three core areas of the practical retirement planning process were statistically analysed for a comparison across the three retirement phases. Differences that could influence individuals’ ability and financial decisions when planning for retirement were found across the three retirement phases. / Financial Accounting / M. Acc. Sc.

Despite the importance of retirement planning, many South Africans have been documented as reaching retirement age without adequate retirement funding. A vast amount of research has been conducted on how proper retirement planning can be beneficial for individuals; however, there has been a lack of attention given to researching the retirement planning of black individuals in South Africa. Thus, the primary objective of this study was to identify, investigate and empirically test which factors influence retirement planning, and which aspects of retirement planning influence the retirement funding adequacy of black individuals. After a comprehensive literature review was undertaken on the factors influencing the retirement planning and retirement funding adequacy of individuals, the following independent variables were identified as influencing the mediating variable (Aspects of retirement planning) and the dependent variable (Retirement funding adequacy) in this study: • Financial literacy; • The role of the financial planner; • Family support structure; and • Health status. These independent variables were selected to construct a hypothesised model and research hypotheses, as they have been identified as the prominent factors that influence the retirement planning of black South Africans. Furthermore, these independent variables were used in determining whether they have an influence on the Aspects of retirement planning (incorporating Retirement provisions, Retirement attitudes and Retirement intentions) and, ultimately, improve the Retirement funding adequacy of individuals. In order to establish the influence of the aspects of retirement planning on the retirement funding adequacy of individuals, an empirical investigation was undertaken. A measuring instrument, in the form of a questionnaire, was compiled from secondary literature sources. The respondents were identified though a mixed sampling approach, whereby stratified sampling and convenience sampling were used to attain 441 usable questionnaires that were subjected to statistical analyses. Descriptive statistics, in the form of frequency distributions, were used to summarise Section A and Section B of the measuring instrument. The validity and reliability of the measuring instrument were confirmed by means of exploratory factor analyses (EFA), and Cronbach’s alpha coefficients were also calculated for this purpose. As a result of conducting the EFA, two independent variables (Family support structure and Health status) loaded together, and the factor was renamed accordingly. From the EFA, the independent variables that emerged were The role of the financial planner, Family, health, and financial well-being, and Financial literacy. Furthermore, the EFA revealed that three mediating variables emerged from the mediating variable Aspects of retirement planning. These three mediating variables were consequently named Retirement intentions, Retirement attitudes, and Retirement provisions. There were no eliminated variables in this study. Based on the results of the EFA, some of the definitions of the variables were adapted. Consequently, the hypothesised model and its research hypotheses were adapted to reflect the results of the EFA. The results of the Cronbach’s alphas calculated reported that all the measuring scales used in the questionnaire of the study were reliable. Furthermore, descriptive statistics were also calculated to summarise the sample data, and Pearson’s product moment correlations were calculated to establish the correlations between all the variables used in this study. A multiple regression analysis was used to investigate the influence of the various independent variables on the mediating variables and the dependent variable. Furthermore, structural equation modelling (SEM) was used as the main statistical procedure to test for mediation in the study. SEM was also used to assess and confirm the results of the multiple regression analyses. Based on the results of the multiple regression analyses and SEM, the hypothesised relationships of the study were accepted or rejected. Additionally, the results of SEM revealed that the revised model of the study displayed acceptable model fit. To conclude the empirical investigation, t-tests and an analysis of variance (ANOVA) tests were performed to assess whether the respondents’ perceptions of the variables used in the study differed as a result of the respondents’ demographic information. Furthermore, to establish significant differences between individual mean scores, post-hoc Tukey tests were calculated, and practical significance was assessed by calculating Cohen’s d values. The main empirical results of the study found that statistically significant relationships exist between the independent variables The role of the financial planner and Family, health, and financial well-being, and the mediating variable Retirement intentions. Furthermore, a significant relationship was found between the independent variable Financial literacy and the mediating variable Retirement attitudes. Other significant relationships were present between all the independent variables The role of the financial planner, Family, health, and financial well-being and Financial literacy, and the mediating variable Retirement provisions. The study also established statistically significant relationships between the mediating variables Retirement attitudes and Retirement provisions and the dependent variable Retirement funding adequacy. Statistically significant relationships were also present between the independent variables Family, health, and financial well-being and Financial literacy and the dependent variable Retirement funding adequacy. This study has added to the limited amount of academic literature in the field of retirement planning in South Africa. Through the hypothesised model developed in this study, a significant contribution has been made towards investigating the factors that influence the retirement planning and retirement funding adequacy of black individuals residing in South Africa. This study presents recommendations to black individuals on practical strategies that could help to improve their retirement planning and retirement funding adequacy. Furthermore, suggestions are presented to financial planners and financial institutions, in order to assist black individuals or potential clients to improve their retirement planning and to help ensure that individuals are financially independent when they reach retirement age. It is recommended that financial institutions provide financial products/services that will cater to black South Africans.

Pension fund investments have been under the spotlight lately, particularly on the back of the recent global financial and economic crisis that resulted in a significant reduction in pension fund assets across economies. Increased poverty levels and high financial indebtedness abound, as workers grapple with retrenchments, reduction in retirement benefits and reduced wages. This is causing a re-assessment of investment strategies of pension funds across the globe, and increasing support for the argument that, the traditional equity/government bond asset allocation is out - fashioned in a world of lower returns and wider choices. Pension funds by virtue of their size, can impact the society directly and/or indirectly through investments in companies that incorporate environmental, social and governance issues in their corporate behaviours, or in dedicated socially responsible investment funds or other forms of alternative investments. This study sought to provide a link between the investment patterns of pension funds and national economic development. An in-depth literature review was undertaken, and investments impacts were assessed by looking at published reports of select funds and corporations. Pension funds are an integral part of a nation‟s economy. This research work established the various dimensions in which pension fund investments can impact the socio economic development of a country, especially in developing countries, where there exists a huge infrastructural and economic gap among different sectors of the economy. Pension funds are workers capital, and therefore should be invested in a manner that will benefit workers, and these benefits cannot be restricted to mere financial benefits, it should be able to generate social, financial and environmental benefits, and in a sustainable way.

Thesis (LLM. (Labour Law)) -- University of Limpopo, 2013 / This study will analyse section 37D of the Pension Funds Act, 24 of 1956. The analysis will also give insight to pension benefits, and how they are afforded special protection by the legislature. Section 37A (1) prohibits the reduction, transfer, cession, pledge or hypothecation of pension benefits. In terms of the Act if a member becomes insolvent, pension benefits are deemed not to form part of the insolvent estate and are thereby protected from erosion by creditors. Section 37C of the Act deems pension benefits payable on the death of a member, subject to certain exceptions, not to form part of the assets of the estate of the deceased member. Section 19 of the Act also serves to protect pension benefits by restricting the manner in which a fund’s assets may be invested.