Octagon Africa, a leading regional financial services provider with local operations in Kenya, has received approval from the Retirement Benefits Authority (RBA) to manage Tier II contributions from employers who opt out of the National Social Security Fund (NSSF)\u00a0through the Octagon Umbrella Retirement Benefits Scheme.<\/p>\n
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The regulatory approval is in line with the NSSF Act, 2013, which was validated and declared constitutional by the Court of Appeal in Kenya in February 2023. The Act, in Section 21, provides an opt-out option for an occupational retirement benefits scheme, \u00a0an umbrella retirement benefits scheme and individual retirement benefits scheme that have been approved and registered by the RBA for purposes of receiving Tier II Contributions.<\/p>\n
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Octagon Africa Group CEO Fred Waswa said that\u00a0it\u00a0would be prudent for employers to put \u00a0the Tier II contributions into a privately managed pension scheme such as the Octagon Umbrella Retirement Benefits Scheme which gives employers influence in the governance of the scheme through the Committees set up under the RBA Regulations.<\/p>\n
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\u201cWe are delighted to receive regulatory approval\u00a0from RBA\u00a0to manage Tier II pension contributions.\u00a0Our scheme is well managed, well administered, and able to give clients better returns. In addition, our processes are highly automated,” Mr. Waswa said.<\/p>\n
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This landmark approval comes as the Kenyan government seeks to deepen and broaden the country’s pension industry, providing more options for Kenyan workers to save for their retirement.<\/p>\n
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The pension contribution is set at 12% of the pensionable wages made up of two equal portions of 6% from the employee and 6% from the employer, subject to a total upper limit of Kshs 2,160 for employees earning above Kshs18,000 in the first year of implementation.<\/p>\n
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Octagon Africa has a proven track record in providing pension fund administration and consultancy services since 2007\u00a0and currently manages over Kshs.100\u00a0billion in assets for over 200,000\u00a0customers. The company offers Employee Benefits Administration and Consultancy services.<\/p>\n
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“We believe that our expertise in pension\u00a0administration, coupled with our innovative solutions, enables us to provide our clients with a unique value proposition in the Tier II pension market,” Octagon Africa Commercial Director Florence Muchiri said.<\/p>\n
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Octagon Africa\u00a0is committed to ensuring that its clients receive the best financial advice and investment solutions at the most favorable and competitive rates, and this approval is a step in the right direction.<\/p>\n<\/span>","protected":false},"excerpt":{"rendered":" Octagon Africa, a leading regional financial services provider with local operations in Kenya, has received approval from the Retirement Benefits Authority (RBA) to manage Tier II contributions from employers who opt out of the National Social Security Fund (NSSF)\u00a0through the Octagon Umbrella Retirement Benefits Scheme. The regulatory approval is in line with the NSSF Act, […]<\/p>\n","protected":false},"author":2,"featured_media":7979,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_et_pb_use_builder":"","_et_pb_old_content":"","_et_gb_content_width":"","footnotes":""},"categories":[3,1,170,154],"tags":[],"class_list":["post-7978","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business","category-local-news","category-new","category-popular-news","et-has-post-format-content","et_post_format-et-post-format-standard"],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/www.kenyaleo.co.ke\/wp-json\/wp\/v2\/posts\/7978"}],"collection":[{"href":"https:\/\/www.kenyaleo.co.ke\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.kenyaleo.co.ke\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.kenyaleo.co.ke\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.kenyaleo.co.ke\/wp-json\/wp\/v2\/comments?post=7978"}],"version-history":[{"count":1,"href":"https:\/\/www.kenyaleo.co.ke\/wp-json\/wp\/v2\/posts\/7978\/revisions"}],"predecessor-version":[{"id":7980,"href":"https:\/\/www.kenyaleo.co.ke\/wp-json\/wp\/v2\/posts\/7978\/revisions\/7980"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.kenyaleo.co.ke\/wp-json\/wp\/v2\/media\/7979"}],"wp:attachment":[{"href":"https:\/\/www.kenyaleo.co.ke\/wp-json\/wp\/v2\/media?parent=7978"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.kenyaleo.co.ke\/wp-json\/wp\/v2\/categories?post=7978"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.kenyaleo.co.ke\/wp-json\/wp\/v2\/tags?post=7978"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}