Policy Summary
Umbrella Pension Schemes are regulated by the Retirement Benefits Authority and suitable for small and medium-sized organizations who may not have adequate funds to cost-effectively manage their own schemes.
The contributions from multiple enrolled employers and their employees, are pooled together into the umbrella fund resulting in a larger fund with members from diverse employers. The member employer schemes share in the cost of administration and the management expenses
Features of the product
An Umbrella Pension scheme is a pool of pension funds from multiple employers. Contributions from the employer and employees are invested in the Umbrella scheme and managed by a common Fund Manager and Fund Administrator in accordance with RBA Regulations. The members receive period pension statements showing the current value of their pension fund which consist the cumulative member and employer contributions plus accrued compounded interest Less the Administration and management expenses.
Who should be included in the Umbrella Pension Scheme?
All organizations who are either setting up a pension fund for their employees or whose funds are not sizeable enough to cost-effectively manage them separately, should join an Umbrella pension scheme.
