Presentation Bully Singh - POA

1 Bully Singh Chairman, Iscor Retirement Fund &Iscor Unclaimed Benefits Preservation Pension Fund 24 years knowledge & experience as TrusteeBULLY Singh Chairman, Iscor Retirement Fund &Iscor Unclaimed Benefits Preservation Pension Fund 24 years knowledge & experience as TrusteeA Personal ExperienceMoving deferred pensioners from the retirement Moving deferred pensioners from the retirement fund to an unclaimed benefits preservation fund for the benefit of existing pensionersAdministration expenses were going upWhy? 40 000 Deferred Pensioners on the Iscor Retirement Fund in January 2010 Proving to be a massive burden on existing pensioners in the same fund65%of the administration costs were for the Deferred Pensioners These 40 000 Deferred Pensioners were on the books but were not doing anything State of affairs could not be allowed to continue and had to be remediedSteps that were taken: Approached the Actuary Asked for a breakdown of the age groups Asked for the detailed benefit entitlement of each Deferred Pensioner A startling fact: the first 15 000 Deferred Pensioners had benefits of less than R500 eachSteps that were taken.

2 Examined all who were 65 and older with help of the Actuarythe Actuary Found that they were due for a pension Having to get hold of 40 000 people Made use of 4 or 5 tracing agentsFrom Challenge to Windfall Opportunity The retirement fund was running its surplus The retirement fund was running its surplus apportionment exercise at the same time Able to use the same results of the tracing agents for the apportionment exercise Cost-effective use of tracing agents using the same results for two fund projects The FSB was involved from the start The FSB gave advice as well as assurance that the Iscor Retirement Fund was on the right path Actuary, Investment Consultant and Administrator also involved from the startalso involved from the startSuccess flowing from Stakeholder Involvement Rules for Preservation Fund drawn up and registered within one month Approved by SARS within 2 days of FSB registrationThank youThank you