Biggest Africa Fund Manager May See Funds Pulled by Unions
Africa’s biggest fund manager may be dumped by a labor federation representing 230,000 South African state workers because it’s concerned that the funds of its members may be used to bail out mismanaged state-owned companies.
The Federation of Unions of South Africa, the country’s second-largest labor union grouping, is considering replacing the state-owned Public Investment Corp. with privately owned fund managers to oversee the pension funds of the state workers, including nurses and teachers, that it represents.
“There is nothing in the law that requires the Government Employee Pension Fund to use only the PIC as an asset manager,” Fedusa General Secretary Dennis George said by phone Thursday, referring to the GEPF, the central account for state workers’ retirement savings and the PIC’s main client.
Read full content.
