KUALA LUMPUR, April 1 — The Employees Provident Fund (EPF) has approved a total of 376 funds from 20 fund management institutions (FMIs) under the EPF Members Investment Scheme (EPF MIS) for the 2020/2021 period.
According to EPF’s annual qualifying list of FMIs and unit trust funds under the EPF MIS effective today, only 280 funds out of the total are, however, qualified to be offered to EPF members.
“Of these 280 qualifying funds, 202 funds (72 per cent) are local funds, of which 101 funds (50 per cent) are equity funds,” it said in a statement.
EPF chief investment officer Rohaya Mohammad Yusof said the pension fund evaluated these funds annually based on its established criteria approved by the Finance Ministry to ensure that only performing funds are offered to its members.
“For this year, considering the market uncertainties, we have decided to maintain the minimum eligibility score of Simple Average Rating for Consistent Returns (SACR) at 2.33. The score will be reviewed and revised to a higher score in the future if necessary,” she said.
The SACR is computed based on the fund’s aggregate performance over a three-year evaluation period using Lipper Ratings for Consistent Return where any unit trust fund which falls below the minimum eligibility score will be suspended from offering during this period.
The EPF MIS was introduced as an option for members to invest a portion of their EPF Account 1 savings in unit trust funds or via private mandates managed by the appointed FMIs.
— Bernama
