Sun | Sep 23, 2018

Proven offers retirement product

Published:Sunday | November 6, 2016 | 12:00 AMSteven Jackson

Proven has started to operate an approved retirement scheme - ARS - branded Proven Rock.

It's a new side of the pension market for the financial firm, which offered fund management services for superannuation funds through PWL Transition Limited.

"The difference between an approved superannuation fund, which is a group pension plan, and an approved retirement scheme is that in a group pension plan, only employees of the company can contribute to the pension plan," said Chorvelle Johnson, CEO of Proven Wealth Limited.

"The ARS, however, allows all persons who are employed or self-employed and are not contributing to a group pension plan to make contributions to the scheme," she said.

Proven Rock allows subscribers to choose investments based on their risk profile.

"For every 10 employed Jamaicans, only one is contributing to a private pension fund or is an active member of a retirement scheme. This is an absolute quandary. There are currently over one million employed persons in the island who are not a part of a private pension plan. We believe that employed and self-employed Jamaicans need to 'think forward' and take the issue of retirement seriously, and Proven Rock is

the vehicle," said head of wealth management at Proven Wealth, Ryan Reid.


The primary advantage of the pooled fund is that it gives members an opportunity to generate higher returns, with an appropriate level of risk, in a diversified portfolio of assets. Proven offers five pooled funds options in which trustees will invest members' contributions. These are Proven Fixed Income Pooled Fund, Proven Equity Pooled Fund, Proven Money Market Pooled Fund, Proven Balanced Pooled Fund, and Proven Diversified Pooled Fund.

"We are saying that when you retire, why not retire wealthy? This to us means the ability to do whatever it is you so desire when you retire. It could mean you go back to work, but not because you need to, but because you want to. It means that when unfortunate things such as illness befall you, the concern of taking care of medical expenses is non-existent," said Reid.

Proven Rock is sponsored and administered by Proven Fund Managers Limited, according to the release.

PWL Transition Limited continues to be a formidable player in pension fund management and administration sector, stated Proven's 2016 annual report.

The private pension fund market was last valued by regulator Financial Services Commission at $407 billion as at March 2016. The most recent industry data seen by Gleaner Business for retirement schemes valued that sector at more than $17 billion as at September 2015.