GEPF’s transformation agenda: Between law and reality
31 October 2023
The Government Employees Pension Fund (GEPF) recently introduced a transformation policy aimed at addressing historical inequalities within South Africa and the financial sector. While the GEPF's intentions are undoubtedly noble, it is crucial to scrutinise the policy for potential legal conflicts and practicality.
As South Africa's largest pension fund, the GEPF boasts assets exceeding R2.3 trillion. Its longstanding mission has been ensuring the financial well-being of Government employees by providing a secure source of retirement income. The fund operates under the Government Employees Pension Law of 1996 (GEPL), which provides the legal framework to safeguard the pension benefits of its members.
The GEPF's transformation policy outlines four key areas intended to guide its transformative efforts, namely:
Transformation at Industry Level: The policy's main objective is to foster the growth of black-owned asset managers, private equity fund managers, fixed-income asset managers, audit firms, actuaries, and other emerging financial service providers.