PENSION FUND CUSTODIANS (PFCs)

Pension Fund Custodians (PFCs) are responsible for keeping safe custody of pension assets on trust on behalf of contributors. The main functions of PFCs are to receive pension contributions on behalf of PFAs; settle transactions and undertake activities relating to the administration of pension fund investments on behalf of PFAs and to notify the PFA within 24 hours of the receipt of pension contributions from employers.

The Commission considers applications for license to operate as a PFC from entities that fulfil the requirements as enshrined in Section 62 of the PRA 2014. The applicant company must be wholly owned by a licensed financial institution with specified net worth as may be determined by the Commission from time to time. In addition, the parent company must issue a guarantee to the full value of pension assets held by the PFC.