PRS Providers in Malaysia
Choosing the Right Provider for Your Retirement Journey
Selecting the right Private Retirement Scheme (PRS) provider is a crucial step in your retirement planning journey. This guide will help you understand the landscape of PRS providers in Malaysia, compare their offerings, and make an informed decision that aligns with your retirement goals.
List of Approved PRS Providers
As of 2024, the Securities Commission Malaysia has approved the following PRS providers:
- AHAM Asset Management Berhad (formerly known as Affin Hwang Asset Management Berhad)
- AIA Pension and Asset Management Sdn Bhd
- AmFunds Management Berhad
- Principal Asset Management Berhad (formerly known as CIMB-Principal Asset Management Berhad)
- Kenanga Investors Berhad
- Manulife Investment Management (M) Berhad
- Public Mutual Berhad
- RHB Asset Management Sdn Bhd
- Hong Leong Asset Management Bhd
Note: The list of approved providers may change over time. Always check the Securities Commission Malaysia's website for the most up-to-date information.
Provider Comparison
When comparing PRS providers, consider the following key factors:
Fees and Charges
Different providers have varying fee structures that can impact your long-term returns:
- Sales Charge: A one-time fee charged when you make a contribution
- Management Fee: An annual fee for managing your investments
- Trustee Fee: An annual fee paid to the scheme's trustee
- PPA Fee: A standard annual fee paid to the Pension Plan Administrator
| Provider | Sales Charge | Management Fee (p.a.) | Trustee Fee (p.a.) | PPA Fee (p.a.) |
|---|---|---|---|---|
| AHAM Asset Management Berhad | 0-3% | 1.5% - 1.8% | 0.025% | RM8 |
| AIA Pension and Asset Management Sdn Bhd | 0-3% | 1.4% - 1.6% | 0.025% | RM8 |
| AmFunds Management Berhad | 0-3% | 1.5% - 1.8% | 0.030% | RM8 |
| Principal Asset Management Berhad | 0-3% | 1.4% - 1.7% | 0.025% | RM8 |
| Kenanga Investors Berhad | 0-2.5% | 1.55% - 1.75% | 0.025% | RM8 |
| Manulife Investment Management (M) Berhad | 0-3% | 1.5% - 1.8% | 0.025% | RM8 |
| Public Mutual Berhad | 0-3% | 1.5% - 1.75% | 0.020% | RM8 |
| RHB Asset Management Sdn Bhd | 0-3% | 1.5% - 1.8% | 0.025% | RM8 |
| Hong Leong Asset Management Bhd | 0-3% | 1.5% - 1.8% | 0.025% | RM8 |
Important:
- Fees are subject to change. Always verify the current fee structure directly with the provider or on their official website.
- Management fees may vary depending on the specific fund within each provider's offerings.
- Some providers may offer promotional rates or fee waivers under certain conditions.
- The PPA (Pension Plan Administrator) fee is standard across all providers and is charged annually.
Pro Tip: While fees are an important consideration, they shouldn't be the only factor in choosing a provider. Consider also the provider's fund performance, range of investment options, customer service, and overall reputation.
Fund Performance
Evaluate the historical performance of each provider's funds:
- Core Funds: Compare the performance of Growth, Moderate, and Conservative funds across providers
- Non-Core Funds: Assess any specialized funds offered by providers
- Benchmark Comparison: Look at how funds perform against their respective benchmarks
- Risk-Adjusted Returns: Consider metrics like Sharpe ratio for a more comprehensive view
[Interactive Fund Performance Comparison Tool]
- Users can select providers and funds to compare
- Displays historical returns, risk metrics, and benchmark comparisons
- Option to adjust time frames (1 year, 3 years, 5 years, since inception)
Customer Service
Quality customer service can greatly enhance your PRS experience:
- Accessibility: Evaluate the provider's customer support channels (phone, email, chat)
- Educational Resources: Look for providers offering comprehensive learning materials
- Digital Tools: Check for user-friendly online platforms and mobile apps
- Responsiveness: Consider reaching out with questions to gauge response quality and time
Investment Options
Providers may offer different fund choices beyond the mandatory core funds:
- Fund Variety: Some providers offer a wider range of specialized funds
- Shariah-Compliant Options: If important to you, check for providers with robust Islamic fund offerings
- Fund Switching Flexibility: Look into policies for changing your fund allocations
Selection Criteria
When choosing a PRS provider, consider these key factors:
- Financial Stability: Research the provider's financial strength and reputation
- Investment Philosophy: Ensure the provider's approach aligns with your beliefs and goals
- Track Record: Look at the provider's history in fund management and PRS specifically
- Fees: Understand the impact of fees on your long-term savings
- Fund Options: Ensure the provider offers funds that match your risk profile and preferences
- User Experience: Consider the ease of making contributions, monitoring investments, and accessing information
- Additional Services: Some providers offer value-added services like financial planning tools or retirement calculators
Provider Evaluation Checklist
Use this checklist to compare providers:
- Competitive fee structure
- Strong historical fund performance
- Variety of fund options matching my risk profile
- User-friendly online platform and mobile app
- Comprehensive educational resources
- Responsive customer service
- Clear and transparent reporting
- Flexibility in contribution methods
- Reputation and financial stability
Frequently Asked Questions
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Q: Can I have accounts with multiple PRS providers? A: Yes, you can open accounts with different providers, but remember that the total tax relief is capped at RM3,000 annually across all PRS contributions.
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Q: How often can I switch between PRS providers? A: You can transfer your PRS savings to a different provider once a year, subject to transfer fees.
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Q: Are all PRS providers equally safe? A: All approved PRS providers are regulated by the Securities Commission Malaysia. However, it's still important to research each provider's financial stability and track record.
Make Your Choice
Ready to select a PRS provider or want to learn more?
- Compare Provider Fees and Performance (Interactive Tool)
- Read Provider Reviews
- Schedule a Consultation with a PRS Advisor
- Enroll with Your Chosen Provider