Planning for your retirement

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Planning for your retirement

• RETIREMENT BENEFITS OPEN DAY
• 18th November 2006

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Contents

• Overview of British-American Group
• Overview of BAAM
• Types of Retirement Benefits Schemes
• Services provided to Retirement Schemes BAAM
• Why Save For Retirement?
• Key Thoughts

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Who Are We?
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Overview of British-American

• British-American Group of Companies is a Global
  financial services company with offices in
  London, Mauritius, Malta, Bahamas, Washington DC
  and Kenya.
• The Group has a long-heritage, providing
  financial services since 1920, over 85 years.
• The Kenyan operations, Britak, was established in
  1965 and has over 40 years of service in the
  Kenyan market providing individual life, group
  life, health care and property/casualty
  insurance.
• The asset base of British-American in Kenya is in
  excess of Kshs 7 billion with brand equity value
  in excess of 6 Billion
• Companies within the group have been successful
  in providing investment products services and
  are market leaders in their respective
  jurisdiction
• The Global Group Malta
• Bramer Investment Management - Mauritius

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Overview of BAAM

• BAAM was established in 2004 to offer asset
  management and investment advisory services to
  individuals and institutional clients and address
  a growing need for innovative investment products
  and services
• BAAM is licensed as a Fund Manager by the Capital
  Markets Authority (CMA) and the Retirement
  Benefits Authority (RBA)
• Currently managing in excess of Kshs 1.5 Billion,
  with over 1,000 clients
• Procured a state-of-the art Investment
  Administration and Fund Management System The
  Advent Office, to enhance operational
  efficiencies and high-standards of customer
  service.
• Launched a series of firsts in the market
• Balanced Fund
• Bond Fund
• Financial Planning approach to investment advice

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BAAMs Vision Mission

• BAAMs Vision
• To be the preferred provider of superior asset
  management and investment advisory services
• BAAMs Mission
• At British American Asset Managers, we empower
  our clients worldwide to achieve and exceed their
  financial and investment objectives by providing
  superior investment solutions and excellent
  service that maximize stakeholder value

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Types of Retirement Schemes

• Occupational Retirement Benefit Scheme A Pension
  or Provident Fund established by an employer for
  the benefit of employees. It is suitable for
  employers with over 100 staff members.
• Umbrella Pension or Umbrella Provident Fund This
  is an Umbrella Retirement Fund for Small Medium
  Enterprises (SMEs) i.e. organizations with less
  than 100 employees. They all participate under
  the Umbrella Retirement Fund thereby creating
  sufficient critical mass for cost and benefit
  optimization.
• Individual Pension Policy This is a Pension
  savings policy for self employed persons or
  employees in organizations that do not offer
  pension benefits.

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Investment Services provided to Retirement
Schemes BAAM

• Fund Management
• Discretionary Investment Management
• Investment Funds
• - Pooled Investment funds
• Fund Manager makes the investment decisions.
• Investment risk no underlying guarantees.
• Rate of return could be different from time to
  time.

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British-American Managed Retirement Fund

• Pooled vehicle registered with the CMA and with
  the RBA
• Investment strategy aligned with the RBA
  investment guidelines
• Provides benefits of pooling
• Administration of the Scheme can be carried out
  by a third party or by Britak

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British-American Managed Retirement Fund (cont.d)

• The fund is valued and priced daily on a net
  asset value basis
• Clients may make withdrawals at any time
• The Fund aims to consistently perform in the top
  quartile of retirement benefits funds

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Why SAVE for retirement?

• 1. Financial Independence during retirement
• 2. We live much longer in retirement than in our
  working lives.
• To maintain or improve the standard of living in
  retirement
• 4. Contributions to registered retirement
  Benefits schemes are tax deductible.

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Why SAVE for retirement? (Cont.d)

• 5. If you are a member of a retirement Benefits
  scheme, then your employer also contributes to
  the scheme, thus effectively increasing your
  gross earnings.
• Investment income earned by registered retirement
  Benefits schemes is tax-free.
• If you lose your job your retirement Benefits
  savings can be an invaluable nest egg.
• Compound interest Compound interest accrues on
  the contributions received, leading to a faster
  accumulation of your fund.

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Some Key thoughts
How long have you spent planning the longest
holiday of your life RETIREMENT?
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Life Line


Fortunately your parents pay for this
Who will pay for this?
Money

Income
Shortfall
Shortfall
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The Graphic story of 100 young people now aged 25

40 years later at retirement .
1
Will be rich
4
Will be financially independent
5
Will still be working
12
Will be broke
29
Will be dead
49
Will be dependent on
friends and charity
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Contacts

• Britak Center, 8th Floor
• Junction of Mara Ragati Roads
• Upper Hill
• P. O. Box 30375-00100
• NAIROBI, Kenya
• Tel [phone]
• Mobile [phone]
• Fax [phone]
• Email Baam_at_baam.co.ke
• Website www.baam.co.ke
• Visit the British-American Asset Managers Stand
  at the RBA Open Day.