ENTERPRISE TIER 2 OCCUPATIONAL PENSION SCHEME

MEMBERS’ SCHEME BOOKLET

Contents

Introduction 2

Looking after the Scheme 3

Glossary 4

How the Scheme Works 6

About the Scheme 7

Joining 8

Investment of Contributions 10

Retirement Benefits 11

Leaving the Scheme 10

Enterprise Trustees Limited Page 1

ABOUT THE BOOKLET
Welcome to Enterprise Tier 2 Occupational Pension Scheme!

This booklet seeks to give you useful information about the scheme and provides you with important decisions
about how to build your investments and save for your retirement.

The information in this booklet is based on our understanding of the National Pensions Act 2008 (Act 766)
which may be subject to change.

ABOUT THE CORPORATE TRUSTEE

Enterprise Trustees is the Pensions Management subsidiary of Enterprise Group Limited (EGL). Incorporated
on 8th November 2010 in partnership with Sanlam Group of South Africa, it was one of the first Corporate
Trustees to be licensed in 2011 by the National Pensions Regulatory Authority (NPRA).

Trustee operations however began in November 2012 following commencement of the Tier 2 & Tier 3 Pension
Schemes by the Regulator. Expertise was drawn largely from the Enterprise Group as well as strongly
leveraging on its strategic partner who was running Employer Benefits in South Africa.

In 2017, Enterprise Trustees welcomed a new strategic partner Black Star Holdings Limited (BSHL). BSHL is
wholly owned by Leapfrog Strategic African Investments who have more than $1 billion in assets under
management and a portfolio of companies across Africa and Asia focused on financial services and health.

Enterprise Trustees is the leading corporate Trustee in Ghana’s pension industry with over GH ⊄1.7 assets
under management representing 28% of market share. The company provides pension services for over 3,000
leading industry players including major Regulatory bodies across all industries with membership of over
400,000.

Enterprise Trustees benefits additionally from the high corporate governance extended to listed entities.

CONTACT US
5th Floor, Enterprise House
No. 11 John Evans Atta Mills High Street
PMB, GPO, Accra, Ghana

Call Centre : +233302634704

Website : www.enterprisegroup.net.gh
Email : info.trustees@enterprisegroup.com.gh
Facebook : enterprisetrusteesgh
Twitter : enterprisegh01
Instagram : enterprisegroupgh
LinkedIn : Enterprise Group Ghana

: :

Enterprise Trustees Limited Page 2

 :

INTRODUCTION

 What is a Pension Scheme?

This refers to a benefit scheme by which an employer and an employee contribute into a
fund that is invested to provide the employee with a pension on retirement either as an
annuity or as a lump sum.

 Key Features of the Scheme

 The Scheme is a Defined Contribution Scheme

 All contributions made on your behalf are invested into your Members’ Account within
the scheme.

 Benefits will be provided for your nominated beneficiaries in the event of your death
before your retirement.

Enterprise Trustees Limited Page 3

GLOSSARY
Accrued Benefits
Active Member
Approved Trustees
Administrative Charges
Beneficiary
Board of Trustee
Contributory Scheme
Corporate Trustee
Defined Contribution (DC)
Scheme
Death Benefit
Dependants
Early Retirement Age
Eligibility
Existing Scheme
Independent Trustee
Investment
Investment Policy
Member
Normal Retirement Age
Occupational Pension
Scheme
Enterprise Trustees Limited
means the amount of each scheme member’s account at any time made up of contributions
and investment returns less any administrative charges.
means a member of a pension scheme who is currently accruing benefits under that
scheme in respect of the current service.
means a company or an individual approved by the Board as a trustee in accordance with
the National Pensions Act, 2008 (Act 766).
This refers to the cost of managing your pension scheme and investing contributions to build
up your retirement fund.
means a person entitled to benefit under a pension scheme or who will become entitled on
the occurrence of a specified event
means the governing body of the Trust.
means a scheme to which both employers and employees contribute
means a company which acts as a trustee.
This is a type of pension plan in which the contributions are made to an individual account
for each member. The retirement benefit is dependent upon the investment experience and
is determined by the value of the fund accumulated at the time he or she retires.
means benefit payable to dependants of a deceased scheme member.
include members of the family of a member as specified in the scheme and other persons
who were dependent on the earnings of the member at the time of the death of the
member.
means an age defined by the terms of a pension plan which is earlier than normal
retirement age at which a member may receive an immediate pension under the plan.
means the conditions which must be met for a person to be a member of a scheme or to
receive a particular benefit and may relate to age, service status and type of employment.
means a company pension set in respect of employees
means an individual or corporate body with no direct or indirect involvement with the
pension scheme or members other than performing the duties of the trustee.
means the process by which contributions and net income are used to increase the value of
pension fund assets by means of cash deposits, the purchase and sale of equities, fixed
interest stocks, bonds and other authorized investments.
means the periodic decisions regarding the types and proportions of assets in which a
pension fund is invested.
means a person who has been admitted to membership of a pension scheme and is entitled
to benefit under the scheme.
means the age, as established by a pension scheme when full benefits can be received.
means a pension scheme offered through an individual’s employment to private or public
sector workers.
Page 4
Pension Fund means an investment fund within the pension scheme which is intended to accumulate
during an individual’s working life from contributions and investment income, with the
intention of providing income in retirement.
Pension Scheme means an employee benefit scheme which provides retirement benefits by the
establishment
Retirement means the attainment of a statutory retirement age or voluntary retirement
Trustee means an individual or company appointed to carry out the purposes of a trust in
accordance with the provisions of the trust

Enterprise Trustees Limited Page 5

 LOOKING AFTER THE SCHEME

 The Trust

The Scheme is set up under Trust to ensure that your assets are protected. The scheme is
governed by a Board of Trustees.

 The Role of the Trustee

In accordance with Section 121 of the National Pension Act 2008 (Act 766), a trustee is
expected to perform the following functions:

a. Secure scheme registration

b. Appoint pension fund managers, custodians and other service providers
and ensure their compliance with regulatory requirements or guidelines
c. Maintain investment policy statements and internal control procedures that
may be prescribed by the Board
d. Ensure that the investment of funds of the scheme is diversified to
minimize investment risk;
e. Act as a provident trustee in financing relationship with its members
f. Discharge the duties of a trustee;
g. Process transfer and payment requests as contained in the trust;
h. Keep proper accounting records and a members’ register;
i. Prepare and lodge annual audited financial statements, scheme and
investment reports and other relevant records that the Board may require,
and
j. Perform other functions as may be directed by the Board.

Enterprise Trustees Limited Page 6

 NOMINATION AND SELECTION OF BOARD OF TRUSTEE MEMBERS

The governance of the scheme resides with the Enterprise Tier 2 Occupational
Pension Scheme (ET2OPS) Board.

The Board is made up of members with varied industry experience

working together to deliver value to the scheme and its members.

The scheme is governed by a 7-member Board of Trustees composed

as follows;.

Three (3) Member-nominated One (1) Independent Trustee Three (3) Trustees appointed by the
Trustees: Corporate Trustee: (Sponsor)

A third of the membership of the The Independent Trustee is These are direct representatives
Board is reserved for appointed by the Corporate of the Sponsor who possess
representatives of participating Trustee, having regard to their varied expertise and experience
employers across the scheme. sound knowledge or practical required to enhance the work of
The member-nominated Trustees experience in matters relating to the Scheme Board of Trustees.
are appointed according to an the management of pension
arrangement put in place by the schemes.
Corporate Trustee subject to
compliance with the nomination
and selection process set out in
Section 141(4) of the National
Pension Act 2008 (Act 766).

Enterprise Trustees Limited Page 7

 IN SUMMARY, THIS IS HOW THE SCHEME WORKS

Your Employer signs on to the Enterprise Tier 2

Occupational Pension Scheme

You automatically become a member of the

Scheme

Your employer remits 5% of the 18.5%

mandatory contribution on each month on your
behalf.

You build up a “pension fund” containing your

contributions and any investment growth on
these contributions (less any charges).

If you retire (Voluntary or full

If you resign In the event of your death
retirement)

Either ..and were still employed by the

You receive a tax-free lump
You leave the fund invested
in the scheme till you retire
Or
Transfer your funds (port) to
the trustee of your new
employer trustee
Company:
sum equal to the value of
Your nominated
the pension fund
beneficiaries will receive a
lump sum equal to the
value of the pension fund
..and had left the Company

Your nominated
beneficiaries will receive a
lump sum equal to the
value of pension fund

Enterprise Trustees Limited Page 8

 ABOUT THE SCHEME

The Pensions Act 2008 (Act 766) has a contributory three-tier pension scheme as follows;

TIER TYPE OF SCHEME MANAGED BY CONTRIBUTION

Tier 1 Mandatory Basic Pension Scheme SSNIT Managed 11% (PLUS 2.5% to )NHIL
Privately Managed by licensed
Mandatory Occupational Pension approved Trustee & Other Licensed
Tier 2 Scheme Players 5%
Privately Managed by licensed
Voluntary Personal Pension approved Trustee & Other Licensed Up to 16.5% Tax
Tier 3 Scheme. Players Exemption
Total Up to 35 %.

What is the Enterprise Tier 2 Occupational Pension Scheme (ET2OPS)?

This is a defined contribution scheme set up by Enterprise Trustees Limited. It is a master trust
scheme duly licensed to operate in Ghana. The Scheme targets employers to provide them with a
one-stop solution to the management of their employee Tier 2 mandatory contributions. The
employers are either from private or public sector.

Enterprise Trustees Limited Page 9

 JONING THE SCHEME

Once your organization signs on to the ET2OPS, as a staff member you are
Do I have a automatically enrolled.
a. Your Human Resource will provide you with an enrolment form to complete. This
Choice? provides us with your bio data to enable us enroll you onto the scheme.
b. Once enrolled, you can then register on the member online portal ‘The Stable’
(https://thestable.enterprisegroup.net.gh:8085/Mss/) with your mobile number.
c.
The Stable provides you access to view your fund statement as well as your
membership certificate.

Per the National Pensions Act, your employer will remit 5% out of the 18.5% mandatory
pension contribution to us (Enterprise Trustees) on your behalf. Contributions are based
How much I
on monthly pay and are deducted from gross pay before tax.
am
supposed to The Scheme is a defined contribution pension scheme, that is, a pension scheme in
which the retirement benefit paid to you depends on the amount of total contributions
contribute?
and the investment returns earned on those contributions (less charges).

What a. All contributions paid into your member account are invested on your behalf.
b. Any returns made on the investment will be added to your Member’s account. As a
happens to member
my c. You can view your statement via https://thestable.enterprisegroup.net.gh:8085/Mss/
contribution d. You will be provided with an annual benefit statement showing the value.
?

Enterprise Trustees Limited Page 10

 The value of your fund will depend on;
How much
 Contributions paid in
will my Tier 2
 Investment performance
pension  Charges as in accordance with the regulator
fund be?
You should also be eligible for Tier 1 (SSNIT) pension

Can the value

of my Tier 2
Over the years, the value of investments can go up and down. Even if the value goes
go down as down in the short term, it would be expected to recover in the long term.
well as up?

Yes.
Can I transfer
another You can cause the transfer of your previous pension fund into your current pension fund.
pension into Your current trustee (Enterprise Trustees) will on your behalf, facilitate the transfer of
the scheme? your funds from your previous pension scheme after you have completed all the
necessary documentation concerning this process.

Yes.
Do I enjoy any
service  24 hour access to member Online Portal ‘The Stable’
benefits as a  Monthly summary statement to members.
member of the  Call Centre available to address member concerns.
 Periodic Newsletter to provide members with relevant pension news and help you
Scheme? better prepare for retirement.
 Prompt processing of payment and transfer requests.

Enterprise Trustees Limited Page 11

 INVESTMENT OF CONTRIBUTIONS

How are my
funds Your funds are invested Funds in accordance with the National Pensions
Regulatory Authority (NPRA) investment guidelines which provide maximum
invested?
percentage limits in the permissible investment options.

The chart below indicates the revised maximum percentage range of permissible investment options
by the NPRA as at 1st April 2017.

Government of Ghana Securities

15% Local Government and Statutory Agency Securities

15% 60&
35% Corporate Debt Securities

Equities
15%
20% Bank Securities and other Money Market Securities
35%
Collective Investment Schemes

Alternative Investment

Enterprise Trustees Limited Page 12

 FUND MANAGEMENT

The ET2OPS funds are managed by Fund Managers who have been appointed by the
Who manages Trustees and tasked with investing assets of the fund.
my funds?
The Trustees also appoint a Custodian to keep custody of cash, securities and
documents of assets belonging to members.

Service Names of Service Providers Roles of Service Providers

Providers

FirstBanc Financial Services  Invest pension funds and assets in

accordance with the Act

SCHEME
FUND IC Assets Managers (Ghana)  Maintain books of account on
MANAGERS Limited transactions related to pension funds
invested

Stanlib Ghana Limited

 Receive contributions remitted by the

SCHEME Standard Chartered Bank employer on behalf of the trustees
CUSTODIAN
 Hold pension fund and assets in trust
for members

 Audit the Scheme’s financial

AUDITORS Ernst & Young statements for a financial period

Enterprise Trustees Limited Page 13

 STRUCTURE OF THE SCHEME

NPRA

ENTERPRISE
TRUSTEES
BOARD
ENTERPRISE TRUSTEES
CORPORATE TRUSTEE

Investment Committee
(3)
BOARD OF TRUSTEES
6 Board of Trustees
1 Independent Trustee
Audit Committee
(3)

PENSION FUND
SCHEME PENSION FUND MGR CUSTODIAN
ADMINISTRATOR (3) AUDITOR
(1)
(Scheme Admin and (Formulates Investment (1)
(Safe keeping of
Record keeping) Strategies) Assets)

Enterprise Trustees Limited Page 14

 RETIREMENT BENEFIT

The normal retirement date for the scheme is your 60th Birthday.

When can I  You will receive a lump sum benefit equal to the value of your contributions and
take my investment returns (less charges).
 You will be notified of your eligibility to access your retirement funds 6 months before
Retirement your 60th birthday.
Benefits?  You should periodically check your account and ensure your contributions are up to
date via our member online portal ‘The Stable’ before your retirement date.

Apart from the normal retirement age, you will be entitled to receive your retirement
benefits under the following conditions;

 Voluntary retirement age at 55 years

 You are unemployed at age 50 and have certification from the labour office
 Permanent emigration (for expatriates)
 Total incapacity (No age restriction)

What
happens if If you die as an active member before the age of 60, a lump sum equal to the
I die as an value of your contributions and investment returns (less charges) will be paid
Active to your nominated beneficiaries.
Member?

Upon joining the scheme, you will be requested to complete a form nominating
Can I beneficiaries of your benefits. These beneficiaries will receive your benefits if you die
decide who as an active member before the age of 60.
receives
However, where your nomination is found to be invalid by the Trust, your benefits
my death shall be distributed to your dependants in accordance with the Intestate Succession
benefits? Act, 1985 (P.N.D.C.L. 111).

Enterprise Trustees Limited Page 15

 LEAVING THE SCHEME

What happens if If you leave the scheme because you no longer work for a Participating Employer, you
I leave the can either choose to leave your funds with us (Enterprise Trustees) to continue
Scheme before investing on your behalf or you can request for a transfer of your funds to the pension
trustee of your new employer.
Retirement?

What happens
If you are employed by another employer who is a participating employer of the
if my new ET2OPS, you can notify your Trustee (Enterprise Trustees) of your change of
employer is a employer. Your Trustee will then merge your previous contribution with your new
Participating contributions under your current employer.
Employer

Can my If you attain the normal retirement age but do not want to access your benefits
benefits be immediately, you can decide to transfer your funds into our personal pension
transferred scheme where we will continue investing your funds on your behalf.

into another
pension plan?

Enterprise Trustees Limited Page 16

ABOUT THE CORPORATE TRUSTEE

Enterprise Trustees is the Pensions Management subsidiary of Enterprise Group Limited (EGL). Incorporated
on 8th November 2010 in partnership with Sanlam Group of South Africa, it was one of the first Corporate
Trustees to be licensed in 2011 by the National Pensions Regulatory Authority (NPRA).

Trustee operations however began in November 2012 following commencement of the Tier 2 & Tier 3 Pension
Schemes by the Regulator. Expertise was drawn largely from the Enterprise Group as well as strongly
leveraging on its strategic partner who was running Employer Benefits in South Africa.

In 2017, Enterprise Trustees welcomed a new strategic partner Black Star Holdings Limited (BSHL). BSHL is
wholly owned by Leapfrog Strategic African Investments who have more than $1 billion in assets under
management and a portfolio of companies across Africa and Asia focused on financial services and health.

Enterprise Trustees is the leading corporate Trustee in Ghana’s pension industry with over GH ⊄1.7 assets
under management representing 28% of market share. The company provides pension services for over 3,000
leading industry players including major Regulatory bodies across all industries with membership of over
400,000.

Enterprise Trustees benefits additionally from the high corporate governance extended to listed entities.

CONTACT US
5th Floor, Enterprise House
No. 11 John Evans Atta Mills High Street
PMB, GPO, Accra, Ghana

Call Centre : +233302634704

Website : www.enterprisegroup.net.gh
Email : info.trustees@enterprisegroup.com.gh
Facebook : enterprisetrusteesgh
Twitter : enterprisegh01
Instagram : enterprisegroupgh
LinkedIn : Enterprise Group Ghana

Enterprise Trustees Limited Page 17