Message from the P.E.O
Mr. Thomas Mketelwa Principal Executive Officer
Industry Recognition and Fund Performance
We extend our sincere appreciation to the employer who has remained consistent in paying
updated pension contributions. This commitment plays a pivotal role in securing the long-term
financial well-being of our members. As a result, we have witnessed remarkable growth in
member values over time, enabling many to retire with financial independence, and in most
cases, as millionaires.
Our Fund continues to strive toward achieving a Net Replacement Ratio of 75% at retirement for
all members. We are proud to report that the Fund’s industry standing has improved
significantly. According to the Financial Sector Conduct Authority (FSCA), we have moved from
45th to 34th position out of 770 funds in South Africa, a testament to our sound management
and performance.
In 2024, the Fund was honoured with the Best Asset Allocator of the Year award by the
Association of Black Securities and Investment Professionals (ABSIP). This recognition reflects our
ongoing commitment to transformation and inclusive growth in the financial services sector.
Strategic Growth and Transformation
In 2021, the Fund committed to increasing its investment allocation to Transformed Asset Managers from 10% to 70% by
June 2025. We achieved this target before the end of the Financial Year. This strategic decision has proven that, with the
right manager mix and a firm commitment to transformation, strong performance is not only possible, but also inevitable.
Growing Your Savings Pot (Two-Pot System)
Members may access their Two-Pot Savings once per tax year, which runs
between March and February every year. However, this withdrawal is not
mandatory. We encourage members to withdraw only when truly
necessary, as your savings pot will continue to grow with interest through
monthly contributions.
Let us all remember: your retirement savings are meant to sustain you well
beyond your working years. Use them wisely and keep the long-term goal in
mind.
It is important to understand how death benefits are distributed upon a member’s passing. Section 37C of the Pension
Funds Act ensures that these benefits:
Do not automatically form part of the deceased’s estate.
Are not solely governed by the member’s will or nomination form.
Instead, the Board of Trustees is legally obligated to conduct a thorough investigation to identify all legal and factual
dependants, as well as nominated beneficiaries. Benefits are then distributed in a fair and equitable manner, based on
financial need, age, relationship, and level of dependency.
This process can take up to 12 months, particularly if dependants are difficult to trace. Ultimately, Section 37C is designed to
protect vulnerable beneficiaries, though it requires patience and careful administration.
Funeral Benefit – Update
Your Beneficiary Form
Recent Legislative Changes
(Divorce Claims Processing)
To align with requirements from our funeral benefit
insurer, members must now designate two
beneficiaries eligible to claim in the event of their
passing. We are working closely with the employer to
ensure the smooth collection of updated beneficiary
forms.
If you have not yet submitted your updated form, we
urge you to do so promptly to avoid delays in benefit
processing during difficult times.
Effective 1 September 2024, the following legislative
changes apply to divorce claims by annuitants:
Divorces finalised before 1 September 2024: No divorce
claims can be made.
Divorces finalised on or after 1 September 2024: Divorce
claims will be permitted.
For more information or clarity on this change, members
are encouraged to contact the Fund’s Front Office.
Understanding Section 37C of the Pension Funds Act
Accessing Your Benefit Statement
Members can access their benefit statements through the following methods:
Online via Member Portal
Visit www.fairsure.co.za Once logged in, you can view or download your statement based on your membership status.
For access to your login credentials, email info@kznmpf.co.za with your full name, date of birth, and service number, or call
031 322 9001.
Request by Email
Send a request to statements@kznmpf.org including your service number.
In-person at the Fund Office
Visit our office for direct assistance:
Address: The Marine Building, 16th Floor, 22 Dorothy Nyembe Street, Durban,4001
We remain committed to the growth, protection, and responsible management of your retirement savings. Thank you for
your continued trust and support.
Mr T Mketelwa
KZNMPF: Principal Executive Officer
The Fund recently purchased a vehicle expected to serve as a Mobile Office that is to deliver the Fund services to members at their places of work. To access this vehicle members are requested to contact the Front Office on 031 322 9001 or send an e-mail to statements@kznmpf.org.
Front Office Update
The Front office address is the Marine building on the 16th Floor and it has been great to to see alot of our members visiting us.
Investment Update
The Fund remained resilient on longer performance horizons, which resulted in the increase of the Assets Under Management to 20 billion rands. The positive performance was achieved in the midst of short-term losses and gains, throughout the period of the Covid-19 scourge. Latest events have caused the markets to be very volatile, resulting in unpredictable Fund performance. The Fund investment portfolios have remained very stable, even through the recent volatile economic conditions.
Governance & Administration
In 2024, we undertook several significant changes, including the successful completion of Member Trustee Elections. The elected trustees are now actively fulfilling their fiduciary responsibilities. We are also in a phase of transitioning to a self-administration model, a strategic move to enhance operational efficiency and member service delivery.
Pension-Backed Lending
The Ithala Bank facility has been suspended by the South African Reserve Bank, and the Standard Bank facility has reached its lending cap of R1.05 billion. We are actively working on securing a new pension-backed lending option and will update members in due course.
Leadership Announcement
Impactful Investing
As a risk mitigation tool on high investment exposure to intangible assets (from investment markets) the Fund is already investigating the possibility of investing in alternative markets, specifically on projects with an impactful community benefit. Internally the Fund is investigating the concept of direct property investment while externally looking into infrastructural, unlisted debt and other private equity opportunities that may arise.
Lastly, I am pleased to announce and congratulate Miss Khanyi Gama on her one-year anniversary as Deputy Executive Principal Officer, a role she assumed on 01 August 2024. Miss Gama has already made a substantial impact and continues to drive operational consistency and excellence within the Fund.
We thank you once again as our members for your continued support. Remember that your Fund remains committed to protecting and growing your retirement savings.