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Writer's pictureErnest Ademola Ehigie

4 Things to Consider Before Moving to another Pension Fund Administrator

Pension Fund Administrator (PFA) is a company licensed by the National Pension Commission (PENCOM) to manage and invest the pension funds in the employee's Retirement Savings Account (RSA).


Towards the end of 2020, PENCOM launched the "RSA Transfer System", which avails RSA holders under the Contributory Pension Scheme (CPS) the opportunity of switching their PFA.


4 Things to Consider Before Moving to another Pension Fund Administrator
Image credit: Google

While this is a laudable development, here are four qualities to look out for before transferring to a new PFA.

1) Excellent Returns on Investment

There is no need to move to a new PFA if they are not offering a greater return on investment than your current PFA. Thus, the top-ranking PFAs' must intensify efforts in providing value to their customers beyond the average market expectation.


Despite the pandemic and challenging macroeconomic circumstances, Oak Pensions have diversified their investments to attain superior returns highly beneficial to their customers.


2) Quick Turnaround Time (TAT)

One of the challenges of most PFAs' is that they have not evolved beyond their analogue mode of operation, leading to delay in tasks and meeting clients expectations. The few PFAs that have come to enjoy excellent brand equity understand the importance of turnaround time and response to clients.


The best way to stay ahead in an industry with ever-evolving dynamics of customer expectations and challenges is to be a pension firm that is fast and excellent at the delivery of solutions.


When looking out for a new PFA to transfer your RSA, look for those with a great system, structure and excellent organisational culture that understand the significance of prompt turnaround time for any person or business.


3) Personalised customer service and experience

While this is premium for most businesses, you should demand some customised service and experience from prospective PFA. Every organisation dedicated to satisfying its customers would not find it challenging to achieve a more personalised service for their clients.


At Oak Pensions, every customer is critical to our entire business, and we show this by offering them bespoke services per time. Each customer is assigned a dedicated Account Officer to resolve whatever challenges they may have. A customised service helps us track historical records of complaints from each customer and develop long-term solutions efficiently.


"At Oak Pensions, every customer is critical to our entire business, and we show this by offering them bespoke services per time"


4) Prompt Payment of Benefits

Even if you pay less attention to the above points, you cannot afford to ignore this because it addresses the whole essence of an RSA. If customers do not get prompt payment of their due benefits, it negates the pension's primary objective. Thus, you must look out for records and testimonials of prompt payment of existing customer benefits to ensure the same when you move.


At Oak pensions, we thrive on eliminating instances of delayed payments or claims when due. We are intentional about keeping this aspect of promise to every customer intact.

On the whole, there are other things to consider before moving to a new PFA, but the above forms the primary feature of a great and reliable fund manager. Thus, we encourage you to do your due diligence through the qualities cited above and ensure you are moving to a greener pasture.

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