Kenya: Retirement Benefits Authority hires new company to manage pension funds
CIC Asset Management Limited has been licensed by the Kenyan Retirement Benefits Authority (RBA) to manage pension funds in the country.CIC Asset Management Limited has been licensed by the Kenyan Retirement Benefits Authority (RBA) to manage pension funds in the country.
CEO Peter Mwaura said that the company will leverage partnerships with co-operatives and chamas (Investment groups) across the country to grow the business.
He added that CIC will use Information and Communication Technology to reduce the cost of doing business and enhance efficiency in management of pension funds.
"We want individuals and corporate organisations to enjoy the benefits of pension funds run professionally," he said, quoted by Capital FM.
"We have established a sales force that will go to the market and look for pension schemes that are not being run professionally so that we can turn them into funds that can generate more wealth to pensioners," he added.
This new move is part of industry-wide reforms being undertaken by the RBA to improve the management of pension funds.
Kenya is home to 13 individual pension schemes operated by independent financial institutions, as well as 1,250 occupational registered schemes.
The industry’s value has grown to about Sh500 billion (€4,3 billion) from about Sh50 billion in 2000, the Daily Nation reports.
Total assets grew by 4.5 per cent in 2011 to stand at Sh471 billion (€4 billion) compared with Sh450 billion the previous year.