Provident Fund Management Fees

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Ice2Cool

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Hey guys

Just wanted to compare with some of you who may have your own businesses. So we have a provident fund which both my company and my employees contribute to. The management fees are approximately 0.95%. Is this reasonable? I haven't really shopped around so I'm not sure what the industry norm is. I have about 120 employees contributing to it.
 
hi,its supposed to be a (%) of salary bill. Another factor is whether its a stand alone fund or part of an umbrella fund.Regardless 0.95% is very high.
 
Ice2Cool said:
Hey guys

Just wanted to compare with some of you who may have your own businesses. So we have a provident fund which both my company and my employees contribute to. The management fees are approximately 0.95%. Is this reasonable? I haven't really shopped around so I'm not sure what the industry norm is. I have about 120 employees contributing to it.
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Who's it with? That is expensive though.
Sygnia and 10x are a lot cheaper.
 
Well the liberty fees are about 0.4%. The Hereford fees are like 0.55%. It's actually Hereford that seems expensive. Again I'm not sure what the norms are hence me asking if anyone has a comparison?
 
Ice2Cool said:
Well the liberty fees are about 0.4%. The Hereford fees are like 0.55%. It's actually Hereford that seems expensive. Again I'm not sure what the norms are hence me asking if anyone has a comparison?
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And fund fees on top of that?

https://www.sygnia.co.za/institutions/sygnia-umbrella-retirement-fund

Looks like you pay no admin fees, just fund fees as long as you use their boutique funds (0.45%), if you interested, contact them to clarify. Sure someone will come see you :)
 
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I use Coronation for my RA, they also charge no admin fees, only fund fees, but their fund fees are much higher than Sygnia's.

I'm not sure how these Asset Managers charge companies for the umbrella funds as you need, but I'm pretty sure the admin side is also free.
 
I saw John Oliver had an interesting discussion around it recently. really informative.
 
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