Administration

Email: CCRFAdmin@aforbes.co.za
Telephone: 0860 100 333

We are market leaders in the field of retirement fund administration.

Our services include:

  • Leading administration software
  • Online member access
  • Electronic client interface
  • Fund accounting
  • Benefit payments and SARS interface
  • Reporting to trustees and members
  • Cashflow and administration reporting
  • Investment reporting
  • Complaints reporting
  • Member communication
  • Disaster recovery management
  • South African Reserve Bank reporting
  • Pensioner administration
  • Unclaimed benefits

We are the first and only administrator in South Africa to have obtained an unqualified SAS70 Type 11 report. This report is a factual investigation into the total control environment of our fund administration functions, which we obtained after voluntarily participating in a review by independent auditors PricewaterhouseCoopers to the American Institute of Certified Public Accounting Standards.

Actuarial Services

Email: CCRFAdmin@aforbes.co.za
Telephone: 0860 100 333

Our actuarial services include:

  • Annual or triennial valuations
  • Advice on contingency and reserve accounts
  • Analysis of asset/liability profile and asset/liability matching
  • Calculation of benefits (retrenchment, retirement, withdrawal, etc)
  • Pension increase policy
  • Transfer of members between funds (bulk and individual)
  • Certifying financial soundness of fund rules and amendments
  • Advice on re-insurance requirements and arrangements

Alexander Forbes Core Plan

Email: CorePlan@aforbes.co.za
Telephone: 0860 100 333

  • The Alexander Forbes Core Plan (AF Core Plan) is an umbrella fund that provides a simple, cost-effective vehicle for your retirement fund arrangement, allowing you to focus on your core business.
  • The AF Core Plan enables you to outsource your Trustee responsibility to a leading financial services company and provides you with the peace of mind that your fund is administered by an organisation with a proven track record.
  • The AF Core Plan provides an attractive package by allowing the employer to combine insured death, disability and funeral benefits together with a retirement savings account – whilst still achieving the economies of scale which ensure a maximum allocation of contributions to members' retirement savings.
  • The AF Core Plan is an umbrella fund to which a number of participating employers subscribe. This pooling of clients enables the Fund to be run more efficiently as certain activities may be centralised, thereby reducing the need for employers to become involved in complex governance issues.
  • The aim of the AF Core Plan is to provide a streamlined benefit structure, which translates into cheaper administration fees for the members of the Fund. The needs of employers and members have therefore been incorporated in the overall design of the Fund, whilst some flexibility is still available in tailoring the benefits applicable to meet your members' specific needs.

Alexander Forbes Retirement Fund

Email:  RetirementFund@aforbes.co.za  
Telephone: 0860 100 333

The Alexander Forbes Retirement Fund offers flexibility to structure employee benefits on a cost-effective basis whilst ensuring the highest administration and communication standards. Involvement by employer representatives is reduced thereby allowing employers to focus on their core business.

A professional board of trustees assumes responsibility for dealing with the running of the Fund, yet the employer has the option to retain a hands-on approach through the appointment of a Management Committee that includes member representation.

Annuity Outsourcing

Name: Craig Bentley
Email: bentleycr@aforbes.co.za
Telephone: 27 (11) 269 1282

Annuity outsourcing seeks to remove all the main risks in the running of a defined-benefit pension fund, namely investment, longevity and administration risks. The fund pays a premium to a reputable insurance company at the outset. In return, the insurer takes over the fund’s pensioner liability.

Pensioners receive payment from the insurer for life, and receive increases specified under the terms of the purchased annuity policy. Administration of pension payments is also taken over by the appointed administrator. This allows the fund to close down and allows the employer to remove the pension liability from its balance sheet, if it wishes to do so. This is a very extensive advice and structuring process, which aims to purchase the most appropriate annuity for the fund from the market, at the best possible price and terms.

Asset Consultants

Name: Rob Southey
Email: routheyr@aforbes.co.za
Telephone: 27 (11) 269 1510

We were the first to offer specialised investment consulting services to clients and we have the longest track record in the industry. Our services include:

  • Investment policy and strategy development (including annual review thereof)
  • Asset Liability Modelling
  • Investment manager research and selection
  • Devising investment mandates
  • Preparing portfolio management agreements
  • Consulting research on trends and developments
  • Performance reporting and monitoring (including compliance monitoring)
  • Research and advice on structured products, hedging and transition management
  • Investment performance surveys of the asset management industry and retirement fund industry.

Asset Consulting Surveys

Email: managerwatch@aforbes.co.za
Telephone: 27 (11) 269 0000

  • Absolute Return Manager Watch™ Survey
  • BEE Manager Watch™ Survey
  • Fund of Hedge Funds Manager Watch™ Survey
  • Guaranteed Fund Survey
  • International Manager Watch™ Survey
  • Manager Watch™ Effective Asset Allocation Survey
  • Manager Watch™ Series of Surveys
  • Manager Watch™ Survey of Retirement Fund
  • Investment Managers
  • Medical-Aid Manager Watch™ Survey
  • Multi-Manager Watch™ Survey
  • Namibian Manager Watch™ Survey
  • S.A. Bond Manager Watch™ Survey
  • S.A. Equity Manager Watch™ Survey
  • S.A. Money Market Manager Watch™ Survey
  • S.A. Property Manager Watch™ Survey
  • Targeted Development Investment Manager Watch™ Survey

Click here to view the detailed surveys

Asset liability modelling

Name: Frans Kuys
Email: kuysf@aforbes.co.za
Telephone: 27 (11) 269 0712

Asset-Liability Modelling is a sophisticated statistical technique that aims to provide clients with an investment strategy that is suitable for their unique liabilities. It involves assessing the liability profile of each client, and designing a range of asset allocations that provides the client with a good chance of meeting its objectives of outperforming the growth in its liability.

By assessing extreme tail events and a range of possible outcomes, the client is also able to gain a better understanding of the investment-related risks it is facing.

Cash flow matching

Name: Qhivi Tiva
Email: tivaq@aforbes.co.za
Telephone: 27 (11) 269 2518

Cash flow matching is a specific form of a liability-driven investment strategy, whereby the client’s expected liability profile over the next few years is matched out with a reputable financial institution. This means that at the outset, the client pays the institution an amount, in return for it paying a series of pre-agreed cash flows. This allows the client to remove most of the interest rate and cash flow risks facing its operations, and allows the balance of its assets to be invested more aggressively in pursuit of higher returns.

Arrangements can be made where the institution is asked to pledge collateral during the term of the match, in order to provide greater security and comfort to the client. Throughout the process, attention is made to achieve best execution at the most competitive price with the most appropriate institution.

Communications

Name: Myrsheila Wessels
Email: wesselsm@aforbes.co.za
Telephone: 27 (11) 269 0015

In the complex world of employee benefits, sound member communication is a necessity. Not only does it translate the jargon and technical terms into simple, easy-to-understand language, it also ensures that members understand the value of having these benefits. Our communications division specialises in:

  • Writing, designing and producing all forms of communication material including print, audio-visual and web-based
  • Designing and managing communication exercises from start to finish
  • Measuring the success of communication strategies in meeting employees’ communication needs, and implementing appropriate changes.

Employee benefits consulting

Name: Craig Bentley
Email: bentleycr@aforbes.co.za
Telephone: 27 (11) 269 1282

We are the leading employee benefits service provider in South Africa and provide proactive consulting services and advice, including:

  • Governance and accountability
  • Optimal benefit structure design
  • Flexible benefits
  • Risk management (impact of Aids on insured benefits)
  • Investment monitoring
  • Legal services
  • Retirement counselling
  • Joint management (including assistance with member trustee elections and trustee training programmes)
  • Industrial relation issues
  • Surplus legislation
  • Total compensation strategy
  • Trustee meetings (attendance and secretarial services)

Investment Administration

Email: info@ishltd.co.za
Telephone: 27 (11) 505 6000
www.investmentsolutions.co.za  

Investment Solutions has taken a strategic decision to build its administration capacity and base as the company sees this as a core part of its business. Member-level administration services have in the past only been offered for in-house products and retirement funds, but Investment Solutions Administration Services (ISAS) will now provide services in the following categories to third parties purely as an administrator:

  • Linked products,
  • Units-trusts investor administration,
  • Investment-portfolio administration.

ISAS’ service offering is modular in that each type is provided separately. Each major service is separately costed, so the cost/benefits of each can be independently assessed. The main services offered are:

  • Portfolio switching,
  • New-business processing ,
  • Member withdrawals,
  • Annuity payroll,
  • Investment reconciliations,
  • Product and retirement fund accounting ,
  • Telephonic client servicing,
  • Support services (for example Internet access).

Investment Portfolios

Email: info@ishltd.co.za
Telephone: 27 (11) 505 6000
www.investmentsolutions.co.za  

Alternative Investment Products

Caveo Fund Solutions (Caveo) is an investment-management company focused solely on the construction, monitoring and maintenance of fund of hedge fund portfolios. It believes hedge funds deliver different risk-and-return streams from traditional asset classes and therefore their inclusion in a portfolio of traditional assets will improve the portfolio's risk-adjusted returns over time.

Equity Portfolio Range

This range offers investors a number of options to gain exposure to the local listed equity and listed property markets.

The portfolios aim to be fully invested in equity securities at all times, so investments will fluctuate in value in line with the volatility of the local equity market.

Fixed-Income Portfolio

This range offers investors a number of options to gain exposure to the South African fixed-income markets. The portfolios range from shorter-dated cash portfolios to longer-dated bond portfolios.

Global Portfolio Range

The portfolios in this range are managed by what Investment Solutions regards to be the best global investment managers. In selecting these managers, the company is assisted, where it does not have extensive manager-research coverage, by selected global investment managers. These include Russell Investment Group, EIM and Investment Solutions Fund Managers (UK). Prudential is used as a global asset-allocation adviser.

Investment Solutions Unit Trusts

This range offers investors a number of options to gain exposure to the local listed equity and listed property markets. The portfolios aim to be fully invested in equity securities at all times, so investments will fluctuate in value in line with the volatility of the local equity market.

Life Stage Portfolio Range

The aim of the AF Lifestage Model is to help members of retirement funds achieve their primary objective of having a reasonable standard of living in retirement. This is achieved by ensuring that the savings are invested in appropriate portfolios at each stage in the member’s life. In order to quantify this objective, we make use of the Net Replacement Ratio (the level of pension in retirement as a proportion of the member’s salary just before retirement).

The Alexander Forbes Lifestage Profile Range specifically applies to the various age-based risk profiles under our preferred Lifestage model for defined-contribution retirement funds.

The Alexander Forbes Lifestage Profile Range is continually analysed and monitored, and continues to reflect the best investment thinking within the Alexander Forbes Group.

Multi-Asset Class Range

The portfolios in this range have an allocation to more than one asset class. In most cases, the local investment managers allocate investments between equities, bonds, cash, listed property and other asset classes based on, for example, their risk-and-return outlook for each asset class at any given time. The investment managers aim to add value through active asset allocation by overweighting and underweighting the asset classes and through active security selection within each asset class. Portfolios are differentiated by their varying allocation to risk assets and by the managers' diverse investment styles.

Niche Portfolio Range

This range provides a number of specialist portfolios to investors with unique requirements.

Real-Return Portfolio Range

This range is aimed at investors targeting returns above inflation. The investment managers are mandated to consistently outperform inflation over rolling periods. The market-linked portfolios employ many techniques, including active asset allocation and protection strategies through derivatives, to achieve the return targets above inflation. The guaranteed portfolios use risk capital, actuarial smoothing and bonus policies to protect capital.

Single Manager Portfolios

The portfolios in this range have an allocation to more than one asset class. In most cases, the local investment managers allocate investments between equities, bonds, cash, listed property and other asset classes based on, for example, their risk-and-return outlook for each asset class at any given time. The investment managers aim to add value through active asset allocation by overweighting and underweighting the asset classes and through active security selection within each asset class. Portfolios are differentiated by their varying allocation to risk assets and by the managers' diverse investment styles.

Specialist Portfolio Range

This range consists of the five risk-profiled portfolios defined by their central weighting from High Equity to Low Equity.

Member education services

Name: Naidoo Jeshma
Email: naidoojes@aforbes.co.za
Telephone: 27 (11) 269 0110

IPFM is at the heart of everything Alexander Forbes does, ultimately focusing on helping individuals achieve long-term financial security. We strive to guide every individual client towards long-term financial security through our interactions.

Central to most people's long-term financial plans is their corporate retirement funding arrangements, and, therefore, Alexander Forbes' advice to employers and Trustees incorporates this focus on ultimately helping members achieve long-term financial security.

Alexander Forbes aims to increase financial awareness and to educate members about financial matters by:

  • A series of posters, brochures and videos that are made available to corporate clients for distribution in their offices;
  • Running group presentations for members tackling a series of financial matters;
  • Providing members with a score card/statement that allows them to track whether they are on target to meet their financial goals;
  • Giving members online access to their values, information, appropriate financial planning tools and relevant educational content to assist them with their financial planning needs;
  • Giving members access to dedicated advice centres where they can get appropriate financial planning advice telephonically;
  • Having dedicated and suitably qualified financial planning consultants assigned to corporate clients to assist members with financial planning matters; and
  • Providing members with personalised information about their financial situation to prompt appropriate action.

Legal Services

Email: info@aforbes.co.za
Telephone: 27 (11) 269 0000

We provide a vast range of legal services and expert opinion in both the employee benefits and financial services industry.

Liability driven investments

Name: Qhivi Tiva
Email: tivaq@aforbes.co.za
Telephone: 27 (11) 269 2518

Liability-driven investment strategies aim to eliminate or manage certain risks faced by investors, including inflation, interest rate and longevity risks.

Liability-driven investment strategies are constructed by selecting from a broad array of financial instruments designed to carefully manage risks. Engineering liability-driven investment strategies often incorporates many of the skills and processes used throughout the rest of the team’s work jointly. The construction of these strategies may include derivative instruments such as mortality swaps and synthesised equity products incorporating inflation and interest rate risk-mitigation features.

Strategies are developed in line with the needs and profiles of each individual client, with consideration to the client’s unique circumstances.

Post retirement medical liabilities

Name: Francois Schaap
Email: Francoiss@guardrisk.co.za
Telephone: 27 (11) 669 1085
www.guardrisk.co.za

Guardrisk Life provides a ring-fenced product that addresses both organizations’ and employees’ needs to provide for post retirement health care liabilities, within a regulated structure that facilitates cost-effective risk transfer and risk ,management.

Our solution is structured for current in-service members and pensioners allowing pre-funding and insurance benefits upon investing. Benefits are payable in the form of a subsidy of the employer’s liability to contribute towards employees’ post retirement health care liability costs.

Structured Products

Name: Qhivi Tiva
Email: tivaq@aforbes.co.za
Telephone: 27 (11) 269 2518

Structured products involve the design and implementation of tailored investment products which aims to provide clients with more attractive or acceptable risk-return profiles.

Typically these involve offering capital protection in exchange for a limit on maximum return, or some exposure to downside risk in exchange for higher participation on the upside. These are suitable for clients who want to maintain some exposure to the market and want protection against downside risk.

Products can be written on selected equity indices or balanced portfolios and can be utilised by both institutional and retail clients.

Transition Management

Name: Marco Cianfanelli
Email: Cianfanellim@ishltd.co.za
Telephone: 27 (11) 505 6108
www.investmentsolutions.co.za

This is the management of the movement of assets from one investment manager to another. It is usually conducted when trustees decide to alter a retirement fund’s strategic direction or asset allocation. It is also important when managers are replaced or retirement funds are re-balanced between managers.

The most cost-effective way of moving assets from one manager to another is by maximising matching. Matching takes place when assets held in the original retirement fund are matched with those that will be held in the new retirement fund. The assets are then transferred directly from the original retirement fund to the new one without going through the open market, thereby reducing direct and indirect costs during transition.

During the transition process, some costs are incurred that can negatively affect retirement funds’ investment returns. Through its unique approach to transition management, Investment Solutions aims to control and decrease these costs.

Investment Solutions is the only SA company that offers transition management whereby the remaining unmatched (residual) assets are compared with the assets held across all the investment portfolios on the company’s balance sheet. This allows for a significant increase in the level of matching during transition.

Trust & Beneficiary Services

Name: Dorcas Motsoane
Email: motsoaned@aforbes.co.za
Telephone: 27 (11) 269 0612

One of the key responsibilities that trustees of pension and provident funds face is that they are required to dispose of a deceased member’s death benefits in terms of Section 37C of the Pension Funds Act. Not only does the Act require trustees to distribute the death benefit, it also requires that they must do so in the manner and proportion that they deem equitable. This creates several challenges, especially in cases that warrant the protection of these benefits, particularly where minor children are involved.

The Alexander Forbes Trust is an umbrella fund trust that was established in 1990. Our trust division assists over 45 000 beneficiaries of deceased members of retirement and group life schemes with their financial affairs.