OLD MUTUAL STAFF RETIREMENT FUND RULES

Amendment No. 1
Amendment No. 2
Amendment No. 3
OLD MUTUAL STAFF
RETIREMENT FUND
RULES
Fund Registration No: 12/8/33661
SARS Approval No: 18/20/4/38405
68561/Revised Rules 2010/AL

PREAMBLE
The FUND was established on 1 September 1996. Persons who were members of the
Old Mutual Staff Pension Fund as at 31 December 1996 had the option to transfer to
the FUND on 1 January 1997. On 1 August 1999 another option was extended to
persons who were members of the Old Mutual Staff Pension Fund as at such date to
transfer to the FUND.
All persons who join the EMPLOYER’S service after 1 September 1996 are obliged to
join the FUND.
The provisions of the Rules in force up to and including 1 October 2010 will continue to
apply in respect of a BENEFICIARY who became entitled to benefits in terms of such
Rules prior to such date, and no such BENEFICIARY’S rights will be prejudiced by
these Revised Rules.
68561/Revised Rules 2010/AL

INDEX
PAGE NUMBER
PART 1 - ESTABLISHMENT AND MANAGEMENT OF THE FUND
RULE 1 : ESTABLISHMENT 2
1.1. OBJECT OF THE FUND ............................................................... 2
1.2. REGISTERED OFFICE OF THE FUND ........................................ 2
1.3. LEGAL PERSON ........................................................................... 2
1.4. EFFECTIVE DATE ........................................................................ 2
1.5. TYPE OF FUND ............................................................................ 3
RULE 2 : MANAGEMENT BOARD 4
2.1. OBJECT OF THE MANAGEMENT BOARD .................................. 4
2.2. COMPOSITION OF THE MANAGEMENT BOARD ....................... 4
2.3. DISQUALIFICATION OF BOARD MEMBERS ............................... 5
2.4. ELECTION PROCEDURE ............................................................. 6
2.5. TERM OF OFFICE ........................................................................ 6
2.6. POWERS OF THE MANAGEMENT BOARD ................................. 8
2.7. DUTIES OF THE MANAGEMENT BOARD ................................. 10
2.8. TERMINATION OF OFFICE ........................................................ 11
2.9. VACANCIES................................................................................ 12
2.10. MEETINGS OF THE MANAGEMENT BOARD ............................ 12
2.11. AMENDMENTS TO RULES ........................................................ 16
2.12. REGULATIONS AND DETERMINATIONS OF THE
MANAGEMENT BOARD ............................................................. 16
2.13. SIGNATURES TO DOCUMENTS ............................................... 17
68561/Revised Rules 2010/AL

2.14. REMUNERATION OF BOARD MEMBERS ................................. 17
2.15. EXPENSES ................................................................................. 17
2.16. INDEMNIFICATION AND FIDELITY GUARANTEE ..................... 17
2.17. ANNUAL AUDITS OF BOOKS OF ACCOUNT ............................ 18
2.18. APPOINTMENTS ........................................................................ 18
2.19. CODE OF GOOD CONDUCT ..................................................... 19
2.20. SAFE CUSTODY OF TITLE DEEDS AND SECURITIES ............ 19
PART 2 - FINANCIAL PROVISIONS
RULE 3 : CONTRIBUTIONS 21
RULE 4 : FINANCIAL STRUCTURE 26
4.1. FUND ACCOUNTS ..................................................................... 26
4.2. CORE ACCOUNTS ..................................................................... 27
4.3. CONTINGENCY RESERVE ACCOUNTS ................................... 32
4.4. UNCLAIMED BENEFITS ACCOUNT .......................................... 35
4.5. OTHER FINANCIAL MATTERS .................................................. 35
4.6. INVESTMENT CHOICE .............................................................. 40
4.7. WORKINGS OF MEMBER INVESTMENT CHOICE .................... 43
RULE 5 :
DISCONTINUANCE OF THE FUND, OR TRANSFER
AND AMALGAMATION 47
5.1. DISCONTINUANCE .................................................................... 47
5.2. PARTIAL DISCONTINUANCE .................................................... 48
5.3. TRANSFER OR AMALGAMATION ............................................. 49
5.4. PARTIAL TRANSFER OR AMALGAMATION .............................. 49
68561/Revised Rules 2010/AL

PART 3 - PARTICIPATION AND BENEFITS
RULE 6 : PARTICIPATION 51
6.1. COMPULSORY PARTICIPATION ............................................... 51
6.2. CONTINUATION OF PARTICIPATION ....................................... 51
6.3. PARTICIPATION OF MEMBERS OF THE OLD MUTUAL
NAMIBIA STAFF PENSION FUND .............................................. 51
6.4. TEMPORARY ABSENCE OF MEMBERS ................................... 52
RULE 7 : RETIREMENT BENEFITS 55
7.1. RIGHT TO A RETIREMENT BENEFIT ........................................ 55
7.2. AMOUNT OF RETIREMENT BENEFIT ....................................... 56
7.3. OPTIONS AT RETIREMENT ....................................................... 56
7.4. DEATH OF A RETIRED MEMBER .............................................. 57
RULE 8 : DEATH BENEFITS 58
8.1. AMOUNT OF DEATH BENEFIT .................................................. 58
8.2. PAYMENT OF DEATH BENEFIT ................................................ 60
8.3. CONDITIONS APPLICABLE TO PURCHASE OF ANNUITY ...... 61
8.4. INSURANCE OF LIFE ASSURANCE BENEFIT AND LIMITATION
OF FUND’S LIABILITY ................................................................ 61
8.5. CONVERSION OPTION .............................................................. 62
RULE 9 : WITHDRAWAL BENEFITS 63
9.1. RIGHT TO AND AMOUNT OF WITHDRAWAL BENEFIT ............ 63
9.2. CESSATION OF PARTICIPATION IN THE LIFE ASSURANCE
BENEFIT ..................................................................................... 63
RULE 10: DISABILITY INCOME BENEFITS 64
68561/Revised Rules 2010/AL

RULE 11 : GENERAL PROVISIONS 66
11.1. PROTECTION OF BENEFITS IN TERMS OF SECTION 37A OF
THE ACT ..................................................................................... 66
11.2. COMPLAINTS PROCEDURE IN TERMS OF SECTION 30A OF
THE ACT ..................................................................................... 66
11.3. DEDUCTIONS ALLOWED IN TERMS OF SECTION 37D OF THE
ACT ............................................................................................. 67
11.4. PAYMENT OF BENEFITS ........................................................... 68
11.5. PROOF OF AGE ......................................................................... 69
11.6. UNCLAIMED BENEFITS ............................................................. 69
11.7. DISPOSITION OF BENEFITS IN TERMS OF COURT ORDERS 70
11.8. ADJUSTMENT TO ACCOUNTS .................................................. 70
11.9. TIME LIMIT TO EXERCISE OPTIONS ........................................ 71
11.10. MEMBER’S RIGHT TO DOCUMENTS ........................................ 71
11.11. COMMUNICATION TO THE FUND TO BE IN WRITING ............ 71
11.12. NOTIFICATION AND INFORMATION ......................................... 71
11.13. AUDIT STATUS OF THE FUND .................................................. 72
11.14. RULES ARE NOT CONDITIONS OF SERVICE .......................... 72
11.15. GREATER BENEFITS ................................................................. 73
11.16. TRANSFERS TO PRESERVATION FUNDS ............................... 73
RULE 12 : DEFINITIONS 75
68561/Revised Rules 2010/AL

PART 1
ESTABLISHMENT AND MANAGEMENT OF THE FUND
68561/Revised Rules 2010/AL 1.

RULE 1 : ESTABLISHMENT
1.1. OBJECT OF THE FUND
The object of the FUND is to provide benefits
• to MEMBERS on their retirement or withdrawal from service, and
• to the DEPENDANTS and nominees of MEMBERS upon the death of
MEMBERS.
1.2. REGISTERED OFFICE OF THE FUND
The registered office of the FUND is:
Old Mutual Staff Retirement Fund
Mutualpark
Jan Smuts Drive
PINELANDS
7405
1.3. LEGAL PERSON
The FUND is a separate legal entity with legal personality, distinct from its
MEMBERS. It has the capacity and power to:
1. sue and be sued in its own name;
2. conclude agreements and perform juristic acts;
3. acquire, own, hypothecate, hire, let and dispose of property, whether
movable or immovable, and whether the property is physical property or
intellectual property;
4. amend the Rules; and
5. do all things that in the opinion of the MANAGEMENT BOARD are
necessary or desirable to be done to achieve its object and to carry out its
functions and duties.
1.4. EFFECTIVE DATE
The effective date of these Rules is 1 October 2010.
68561/Revised Rules 2010/AL 2.

1.5. TYPE OF FUND
The FUND is a defined contribution pension fund and operates as a type B
umbrella fund.
68561/Revised Rules 2010/AL 3.

RULE 2 : MANAGEMENT BOARD
2.1. OBJECT OF THE MANAGEMENT BOARD
The MANAGEMENT BOARD must direct, control and oversee the business of
the FUND in accordance with the applicable laws and the provisions of the
Rules.
2.2. COMPOSITION OF THE MANAGEMENT BOARD
1. BOARD MEMBERS
(a)
(b)
The MANAGEMENT BOARD consists of four APPOINTED
BOARD MEMBERS and four ELECTED BOARD MEMBERS.
The ELECTED BOARD MEMBERS must meet any eligibility
requirements determined by the MANAGEMENT BOARD by
resolution from time to time.
2. ALTERNATES
The EMPLOYER may appoint alternates for the APPOINTED BOARD
MEMBERS and the MEMBERS may elect alternates for the ELECTED
BOARD MEMBERS to act in the place of a BOARD MEMBER during his
absence or inability to act as a BOARD MEMBER.
(a)
(b)
(c)
(d)
Alternates are subject to the same terms, qualifications and
conditions applicable to BOARD MEMBERS.
An alternate, whilst acting for a BOARD MEMBER, may exercise
all powers, duties and functions of the BOARD MEMBER he
represents.
An alternate may attend all meetings of the MANAGEMENT
BOARD but may only vote if he is acting in the place of an absent
BOARD MEMBER.
An alternate who wishes to stand for re-election as a full
ELECTED BOARD MEMBER, must resign from office and make
himself available for re-election.
68561/Revised Rules 2010/AL 4.

3. CHAIRPERSON, DEPUTY CHAIRPERSON AND ACTING
CHAIRPERSON
(a)
(b)
(c)
The BOARD MEMBERS shall appoint one of their number as
the Chairperson, and a further BOARD MEMBER as the Deputy
Chairperson. The position of Chairperson will alternate between
an APPOINTED BOARD MEMBER and an ELECTED BOARD
MEMBER, respectively. The Deputy Chairperson must be
appointed by all the BOARD MEMBERS.
The duties of the Deputy Chairperson will be limited to those
delegated to him by the Chairperson.
The provisions in these Rules regarding the Chairperson, shall
mutatis mutandis apply to the position of the Deputy Chairperson
and the Acting Chairperson.
2.3. DISQUALIFICATION OF BOARD MEMBERS
1. Any of the following persons shall be disqualified from being appointed
or acting as a BOARD MEMBER:
(a)
(b)
(c)
(d)
(e)
a minor or any other person under legal disability;
any person who becomes insane or otherwise incapable of
acting;
any person whose estate is sequestrated or surrendered or
assigned for the benefit of his creditors;
any person who is the subject of any order under any Act
disqualifying him from being a BOARD MEMBER;
save under authority of a Court of law-
(i)
(ii)
an unrehabilitated insolvent;
any person removed from an office of trust on account of
misconduct;
68561/Revised Rules 2010/AL 5.

(iii) any person who has at any time been convicted of theft,
fraud, forgery or uttering a forged document, perjury, an
offence under any legislation relating to the prevention or
combating of corruption or any other offence involving
dishonesty or the management of assets entrusted to him;
(iv) any person convicted of any offence and sentenced to
imprisonment without the option of a fine.
2. The MANAGEMENT BOARD may in addition to the disqualifications
referred to in 1. above, determine further criteria for eligibility to serve as
a BOARD MEMBER.
2.4. ELECTION PROCEDURE
The election of ELECTED BOARD MEMBERS will be by ballot and will be
subject to any procedures determined by the MANAGEMENT BOARD from
time to time.
2.5. TERM OF OFFICE
1. ELECTED BOARD MEMBERS
Subject to the provisions of Rule 2.8., the ELECTED BOARD
MEMBERS will hold office for a period of four years from the date on
which the results of the last elections are made known. ELECTED
BOARD MEMBERS may make themselves available for re-election for a
further single term only.
Two ELECTED BOARD MEMBERS will step down and be replaced at
each election, as decided amongst the ELECTED BOARD MEMBERS.
Elections will occur every two years in respect of the two positions which
become vacant as a result of the staggered election process.
Notwithstanding the above, the MANAGEMENT BOARD may decide to
hold further elections before the expiry of the aforementioned four-year
term, in which event the term of office of the existing ELECTED BOARD
MEMBERS will expire on the date on which the results of such elections
are made known.
Rule 2.2.2.(a) must be applied to alternates.
68561/Revised Rules 2010/AL 6.

2. APPOINTED BOARD MEMBERS
With effect from 1 July 2009, subject to the provisions of Rule 2.8., the
term of office for APPOINTED BOARD MEMBERS will be a period of
four years from 1 July 2009 or the date of their appointment, whichever
is the later. On expiry of the term of office of an APPOINTED BOARD
MEMBER, the EMPLOYER must make a further appointment, following
the process set out below. However, APPOINTED BOARD MEMBERS
may make themselves available for re-appointment for one or more
further terms.
On 1 July 2011, the EMPLOYER, in consultation with the APPOINTED
BOARD MEMBERS, will propose two APPOINTED BOARD MEMBERS
who will cease to hold office. Thereafter, the EMPLOYER, in
consultation with the APPOINTED BOARD MEMBERS, will make similar
proposals every two years. Should the EMPLOYER, in consultation with
the APPOINTED BOARD MEMBERS, so choose, this process may be
waived.
On 1 July 2011, the vacancies (if any) left by the two APPOINTED
BOARD MEMBERS whose terms have ceased, will be filled by new
EMPLOYER appointments. Thereafter EMPLOYER appointments will
occur every two years in respect of the positions (if any) which become
vacant as a result of the staggered appointment process.
Rule 2.2.2.(a) must be applied to alternates.
3. CHAIRPERSON
The Chairperson will serve for a term of two years, unless otherwise
agreed by the MANAGEMENT BOARD.
Should the position of Chairperson become vacant before the expiry of
the term of office, the APPOINTED BOARD MEMBERS or the
ELECTED BOARD MEMBERS, as the case may be, will appoint another
Chairperson for the unexpired portion of the term of office.
The Chairperson may, on the expiry of his term, make himself available
for re-election.
68561/Revised Rules 2010/AL 7.

2.6. POWERS OF THE MANAGEMENT BOARD
1. The MANAGEMENT BOARD must exercise all the powers of the FUND.
The MANAGEMENT BOARD must exercise its discretionary powers –
(a)
(b)
reasonably, equitably, in the pursuit of a proper purpose and
motive, in a manner that will not unduly fetter the exercise of its
discretion; and
by applying, in the pursuit of a proper purpose, means that are
reasonable and rationally in proportion to that purpose.
2. Delegation of powers to Sub-Committees
The MANAGEMENT BOARD may delegate any of its powers in terms of
these Rules to a Sub-Committee or a person on such terms as it may
think fit. These terms may include the purpose, powers, authorities and
discretion of the Sub-Committee or the person. The MANAGEMENT
BOARD can decide how long such delegation will last. At any time the
MANAGEMENT BOARD may terminate the delegation of its powers to
any Sub-Committee or person appointed in terms of this Rule or may
vary the terms of the appointment. A Sub-Committee or a person acting
under delegated powers is mutatis mutandis subject to the provisions of
these Rules.
(a)
Appointment of a Claims Committee
The MANAGEMENT BOARD may from time to time appoint a
Claims Committee for the purposes of Rule 7.1.2.(b), Rule 8.2
and Rule 8.3. The Claims Committee will consist of four persons
who will be selected from amongst the BOARD MEMBERS and
the alternates.
(i)
Meetings of Claims Committee
The Claims Committee will meet from time to time as may
be required. A quorum for meetings is three members of
the Claims Committee.
68561/Revised Rules 2010/AL 8.

(ii)
Written resolutions
A resolution in writing circulated to all the members of the
Claims Committee and approved by means of at least
three members of the Claims Committee signing the
resolution, is as effective as a resolution passed at a
meeting of the Claims Committee duly convened and
held. Any resolution passed in terms of this Rule must be
noted at the first meeting of the Claims Committee held
after the resolution was passed.
(iii)
A decision taken by the Claims Committee may be
executed by the Committee within the parameters laid
down by the MANAGEMENT BOARD in terms of death
claims and will be referred to the MANAGEMENT BOARD
to be ratified at the next meeting of the MANAGEMENT
BOARD.
(b)
Appointment of other sub-committees
The MANAGEMENT BOARD may at its discretion in addition to a
Claims Committee, appoint one or more other sub-committees to
take decisions on specific issues on behalf of the
MANAGEMENT BOARD.
(i)
(ii)
A sub-committee may consist of any number of BOARD
MEMBERS or alternates. Where appropriate, the
Principal Officer and/or other individuals who are not
BOARD MEMBERS or alternates may act as non-voting
members of a sub-committee, where appointed and
mandated by the MANAGEMENT BOARD.
A decision taken by a sub-committee will be referred to
the MANAGEMENT BOARD to be ratified at the next
meeting of the MANAGEMENT BOARD.
68561/Revised Rules 2010/AL 9.

2.7. DUTIES OF THE MANAGEMENT BOARD
In pursuing the object in terms of Rule 2.1., the MANAGEMENT BOARD must
(a)
(b)
(c)
(d)
(e)
(f)
(g)
(h)
(i)
(j)
(k)
(l)
(m)
take all reasonable steps to ensure that the interests of MEMBERS in
terms of the Rules and the provisions of the ACT are protected at all
times;
act with due care, diligence and good faith;
avoid conflicts of interest;
act with impartiality in respect of all MEMBERS and BENEFICIARIES;
ensure that proper control systems are employed by or on behalf of the
MANAGEMENT BOARD;
ensure that adequate and appropriate information is communicated to
MEMBERS informing them of their rights, benefits and duties in terms of
the Rules;
ensure that contributions are paid timeously to the FUND in accordance
with the provisions of the ACT;
obtain expert advice on matters where the MANAGEMENT BOARD may
lack sufficient expertise;
ensure that the Rules and the operation and administration of the FUND
comply with any relevant legislation and with any ruling laid down by the
REGISTRAR and the COMMISSIONER;
ensure that such accounts, registers and records as are necessary for
the proper working of the FUND are kept;
maintain such register or registers (at the FUND’S registered office)
containing the information in accordance with Regulation 31 to the ACT.
maintain adequate fidelity cover;
determine the FUND'S investment strategy;
68561/Revised Rules 2010/AL 10.

(n)
decide from time to time which INVESTMENT FUNDS are available for
investment of the FUND'S assets having due regard to the FUND'S
investment strategy.
2.8. TERMINATION OF OFFICE
1. A BOARD MEMBER or alternate may resign from office at any time by
giving one month’s written notice to the MANAGEMENT BOARD, unless
this notice period is waived by the MANAGEMENT BOARD.
2. A BOARD MEMBER or the Chairperson may be removed from office by
the MANAGEMENT BOARD in the event of a majority vote to this effect.
3. A BOARD MEMBER will also cease to hold office if
(a)
(b)
(c)
(d)
(e)
(f)
(g)
his term expires;
he becomes disqualified from being a BOARD MEMBER in terms
of Rule 2.3;
in the case of an ELECTED BOARD MEMBER, he ceases to be
a MEMBER;
he fails to attend two consecutive meetings of the
MANAGEMENT BOARD without the prior permission of the
Chairperson;
he fails to sign or subscribe to the CODE OF GOOD CONDUCT
in terms of Rule 2.19;
he no longer meets the eligibility requirements determined by the
MANAGEMENT BOARD, (if any); or
in the case of an APPOINTED BOARD MEMBER, the
EMPLOYER withdraws the appointment.
68561/Revised Rules 2010/AL 11.

2.9. VACANCIES
1. Should a vacancy arise in the MANAGEMENT BOARD in terms of Rule
2.8., the MANAGEMENT BOARD may
(a)
(b)
choose one of the alternates appointed in terms of Rule 2.2.2. to
fill the vacancy, provided that ELECTED BOARD MEMBERS
may be replaced with the MEMBER(S) who attained the next
most votes during the last MEMBER elections, or
agree on filling this vacancy on some other basis.
2. The MANAGEMENT BOARD must ensure that the composition of the
MANAGEMENT BOARD at all times adheres to the provisions of Rule
2.2.
2.10. MEETINGS OF THE MANAGEMENT BOARD
1. NUMBER AND FREQUENCY
(a)
The MANAGEMENT BOARD must meet from time to time to
conduct the business of the FUND.
Meetings of the MANAGEMENT BOARD must take place as
often as agreed by the MANAGEMENT BOARD, but at least
three meetings must be held in each FINANCIAL YEAR.
If at least two-thirds of the BOARD MEMBERS make a request to
the Chairperson to convene a meeting of the MANAGEMENT
BOARD, he must do so within fifteen days.
(b)
Video and telephone conferencing
BOARD MEMBERS may also conduct a meeting by using a
conference telephone or any communication equipment
(including video link) which allows everybody participating in the
meeting to speak to and hear each other. Taking part in this way
will, provided there is a quorum present, be counted as a meeting
of the MANAGEMENT BOARD. Meetings will be treated as
taking place where the largest group of the participants are or, if
there is no such group, where the Chairperson of the meeting is
situated. The remaining provisions of these Rules applicable to
68561/Revised Rules 2010/AL 12.

2. CHAIRPERSON
meetings of the MANAGEMENT BOARD will apply to any
meeting conducted in this manner.
The Chairperson presides over and maintains order at meetings to
ensure that meetings are conducted in a proper manner.
If the Chairperson is absent or temporarily unable to discharge his
duties, the Deputy Chairperson shall take up the position of Chairperson.
If the Deputy Chairperson is also not available, the MANAGEMENT
BOARD may resolve that one of their number be appointed as Acting
Chairperson. Such appointment shall be for such period and for such
purpose as resolved by the MANAGEMENT BOARD. Such Chairperson
will have the same powers and duties in relation to conducting the
meeting as the Chairperson.
3. NOTICE OF MEETINGS
The Chairperson must ensure that at least 15 business days' prior
written notice of a meeting of the MANAGEMENT BOARD is given to
(a)
(b)
(c)
all BOARD MEMBERS,
alternates, and
the Principal Officer of the FUND.
The MANAGEMENT BOARD may waive the notice period.
4. VOTING RIGHTS
(a)
(b)
The Principal Officer of the FUND may attend all meetings of the
MANAGEMENT BOARD, but may only vote on a resolution if he
is a BOARD MEMBER.
The MANAGEMENT BOARD may not transact any business
unless the required quorum for a meeting is present by the time
the meeting commences. A quorum for meetings is 6 BOARD
MEMBERS, provided that at least 3 APPOINTED BOARD
MEMBERS and 3 ELECTED BOARD MEMBERS are present.
68561/Revised Rules 2010/AL 13.

(c)
(d)
(e)
At a meeting of the MANAGEMENT BOARD each BOARD
MEMBER (including the Chairperson) has one vote.
The MANAGEMENT BOARD must make a reasonable effort to
reach consensus but a decision favoured by 75% of the meeting
will be carried. If the MANAGEMENT BOARD cannot reach a
75% majority decision the matter will be referred to the next
meeting and then an ordinary majority (50% + 1) will apply.
If a majority vote cannot be reached on a specific matter that
compels a resolution, the matter must be referred to a person
deemed by the MANAGEMENT BOARD to be an expert on the
matter. The person so appointed need not operate in the
capacity of a mediator or an arbitrator. He must decide on the
matter in a procedurally fair, economical and expeditious manner.
His decision is final and binding.
5. ADOPTION OF RESOLUTIONS
(a)
(b)
At a meeting of the MANAGEMENT BOARD motions will be
proposed and voted upon in accordance with Rule 2.10.4. In the
event of a majority, such decision will constitute a resolution of
the FUND.
Round robin resolutions
(i)
Written resolutions other than in (ii) below:
A resolution in writing sent to all the BOARD MEMBERS
shall, provided that the number of individually signed
copies amount to the number required for a quorum, be
as valid and effective as if it was passed at a meeting of
the MANAGEMENT BOARD duly convened and held.
(ii)
Electronic resolutions
A resolution circulated to all the BOARD MEMBERS via
e-mail shall, provided that the number of the BOARD
MEMBERS, who signify their approval by return of e-mail
is no less than the number required for a quorum, be as
68561/Revised Rules 2010/AL 14.

valid and effective as if it was passed at a meeting of the
MANAGEMENT BOARD duly convened and held.
Any resolution passed under Rules 2.10(5)(b)(i) and 2.10(5)(b)(ii)
must, as a matter of good governance, be recorded in the
minutes at a subsequent meeting of the MANAGEMENT BOARD
held after the resolution was passed.
(c)
The MANAGEMENT BOARD may not make decisions regarding
any of the following matters without the prior written consent of
the PRINCIPAL EMPLOYER:
(i)
(ii)
(iii)
(iv)
the contribution rate in terms of Rule 3.1., Rule 3.4. and
Rule 6.4.3.2.;
a MEMBER'S retirement age;
increasing future benefits; or
discontinuing the FUND.
(d)
Decisions of the MANAGEMENT BOARD that affect the financial
soundness of the FUND will be subject to the approval of the
ACTUARY. Such decisions include
(i) decisions concerning the contributions in terms of Rule 3
and Rule 6.4.;
(ii)
(iii)
decisions concerning undistributed profits and losses; and
decisions to increase future benefits.
6. SECRETARY
A Secretary must be appointed from time to time by the MANAGEMENT
BOARD. The Secretary’s functions include
(a)
(b)
(c)
the taking of minutes;
the counting of votes;
the recording of resolutions at meetings; and
68561/Revised Rules 2010/AL 15.

(d)
such further functions as may be determined by the
MANAGEMENT BOARD.
Fees and other costs payable, where applicable, for services rendered
by the Secretary must be determined by the MANAGEMENT BOARD
from time to time.
7. MINUTES
Minutes of all meetings of the MANAGEMENT BOARD must be taken
and recorded in writing. These minutes must be kept in accordance with
Regulation 31 to the ACT.
The minutes of each meeting must be distributed to all BOARD
MEMBERS, alternates and the Principal Officer of the FUND.
2.11. AMENDMENTS TO RULES
1. The MANAGEMENT BOARD may amend the Rules of the FUND. Any
amendments which have a financial implication for the PRINCIPAL
EMPLOYER or affect the PRINCIPAL EMPLOYER'S rights in terms of
these Rules, must be approved in writing by the PRINCIPAL
EMPLOYER before they become effective.
2. No amendment to the Rules of the FUND may be made unless the
amendment has been approved by the REGISTRAR and notified to the
COMMISSIONER.
3. If an amendment to the Rules of the FUND is registered after the
effective date of the amendment, such amendment will take effect on the
effective date of the amendment. This is not authority to act in terms of
such amendment prior to registration.
2.12. REGULATIONS AND DETERMINATIONS OF THE MANAGEMENT BOARD
The MANAGEMENT BOARD may make any regulations and determinations for
the administration of the FUND that are not inconsistent with these Rules. The
regulations and determinations are binding on the FUND, its officials, the
MEMBERS and BENEFICIARIES.
68561/Revised Rules 2010/AL 16.

2.13. SIGNATURES TO DOCUMENTS
1. All documents or contracts effected by the FUND (other than a
resolution referred to in Rule 2.10.5. or a policy issued to the FUND) will
be binding upon the FUND provided that they have been signed by such
persons empowered to sign on behalf of the MANAGEMENT BOARD
(a)
(b)
at a duly constituted meeting, or
after such a meeting, provided that authorisation for the signing
of these documents or contracts was granted at such meeting.
2. Notwithstanding the provisions of paragraph 1 above, where the ACT
prescribes specific formalities for the signature of documents, such
documents will only be binding upon the FUND subject to compliance
with these requirements.
2.14. REMUNERATION OF BOARD MEMBERS
BOARD MEMBERS will, other than as set out in Rule 2.15., not be remunerated
for services performed in the execution of their duties as BOARD MEMBERS.
2.15. EXPENSES
Any expenses incurred by any BOARD MEMBER may only be recovered from
the FUND if such expenses were authorised at a meeting of the
MANAGEMENT BOARD.
2.16. INDEMNIFICATION AND FIDELITY GUARANTEE
1. Any BOARD MEMBER and any officer of the FUND will be indemnified
by the FUND against any claim for damages arising from the
management and administration of the FUND where such BOARD
MEMBER or officer acted in good faith.
2. The FUND must obtain insurance, as it deems sufficient to indemnify the
FUND against losses owing to the dishonesty or fraud of any of its
BOARD MEMBERS or officers.
68561/Revised Rules 2010/AL 17.

2.17. ANNUAL AUDITS OF BOOKS OF ACCOUNT
The books of account of the FUND must be drawn up as at the end of each
FINANCIAL YEAR, and must be audited by the AUDITOR.
2.18. APPOINTMENTS
1. Principal Officer
The MANAGEMENT BOARD must appoint a Principal Officer on such
terms and conditions as it may determine.
If the Principal Officer is unable for any reason to discharge his duties for
more than thirty days, the MANAGEMENT BOARD shall appoint another
person as acting Principal Officer for such period. In this event the
MANAGEMENT BOARD will inform the REGISTRAR thereof in writing
within thirty days of such appointment.
2. Other Appointments
The MANAGEMENT BOARD must make the following appointments:
(a)
(b)
an ADMINISTRATOR.
an AUDITOR.
The AUDITOR will have unrestricted access to all books,
accounts and records connected with the FUND and must certify,
in writing, the result of each audit.
(c)
(d)
(e)
an ACTUARY.
one or more ASSET MANAGERS; and
such other service providers as required from time to time.
68561/Revised Rules 2010/AL 18.

2.19. CODE OF GOOD CONDUCT
1. The MANAGEMENT BOARD must adopt a CODE OF GOOD
CONDUCT. As evidence of commitment to abide by the CODE OF
GOOD CONDUCT, each BOARD MEMBER must sign acceptance of
the CODE OF GOOD CONDUCT. Any BOARD MEMBER who declines
to sign or subscribe to the CODE OF GOOD CONDUCT must vacate his
or her office as BOARD MEMBER immediately.
2. The CODE OF GOOD CONDUCT may at the discretion of the
MANAGEMENT BOARD and subject to that person's consent, be
applicable to any person involved in any way in the management,
administration or provision of any service to the FUND; and may also
contain such sanction against such person breaching this CODE OF
GOOD CONDUCT as the MANAGEMENT BOARD may decide.
2.20. SAFE CUSTODY OF TITLE DEEDS AND SECURITIES
The MANAGEMENT BOARD must make adequate arrangements to ensure the
continued safety of any title deed or other security belonging to or held by the
FUND and that such a document is marked in a manner which will render it
possible at all times to establish readily that the document belongs to or is held
by the FUND.
68561/Revised Rules 2010/AL 19.

PART 2
FINANCIAL PROVISIONS
68561/Revised Rules 2010/AL 20.

RULE 3 : CONTRIBUTIONS
3.1. MEMBER'S CURRENT CONTRIBUTIONS
1. Commencement
A MEMBER must contribute to the FUND from the date of
commencement of his participation at the applicable rate in terms of
Rule 3.1.2.
The EMPLOYER must deduct the MEMBER’S contributions from the
MEMBER'S pay at the end of each pay-period and effect payment
thereof to the FUND. The first deduction must be made at the end of the
first pay-period following on the commencement of the MEMBER’S
participation and the subsequent deductions at the end of each
successive pay-period thereafter.
2. Current Contribution Rate
As at the MEMBER’S date of commencement of participation he may
elect to contribute per pay-period at either 6,5% or 7,5% of 1/12 th of his
PENSIONABLE EARNINGS. If the MEMBER fails to so elect, the
MEMBER must contribute at 6,5% of his PENSIONABLE EARNINGS.
3. Option to increase or decrease current contribution rate
(a)
(b)
As at 1 July each year, a FIELD STAFF MEMBER may elect to
increase or decrease his current contribution by 1% of 1/12th of
his PENSIONABLE EARNINGS, provided his monthly current
contribution is not less than 6,5% or more than 7,5% of 1/12 th of
his PENSIONABLE EARNINGS.
A MEMBER, other than a MEMBER referred to in Rule 3.1.3.(a),
may elect to increase or decrease his current contribution by 1%
of 1/12th of his PENSIONABLE EARNINGS when there is a
change in his PENSIONABLE EARNINGS, provided his monthly
current contribution is not less than 6,5% or more than 7,5% of
1/12 th of his PENSIONABLE EARNINGS.
68561/Revised Rules 2010/AL 21.

4. FIELD STAFF MEMBERS
Notwithstanding the provisions of Rule 3.1.2., a MEMBER designated by
the EMPLOYER as a FIELD STAFF MEMBER who was a member of
the PREVIOUS FUND and who, prior to transferring to the FUND on
1 January 1997 or 1 August 1999, elected in terms of the Rules of the
PREVIOUS FUND to contribute at a rate of 7,5% of 1/12 th of
PENSIONABLE EARNINGS, will continue to contribute at such rate
under this FUND.
5. MEMBERS in receipt of Disability Income Benefits
A MEMBER who contributes at 7,5% of 1/12 th of his PENSIONABLE
EARNINGS immediately prior to the date on which his benefit in terms of
the DISABILITY INCOME PLAN commenced, may elect to contribute at
6,5 % of 1/12 th of his PENSIONABLE EARNINGS from the date on
which his benefit from the DISABILITY INCOME PLAN commences.
The MEMBER may also on 1 July each year exercise the option in Rule
3.1.3. above.
3.2. MEMBER’S ADDITIONAL VOLUNTARY CONTRIBUTIONS
A MEMBER may at any time undertake to make additional voluntary
contributions to be applied towards retirement funding.
A MEMBER'S additional voluntary contributions will be such amounts on a
monthly or other basis as the MEMBER has undertaken to contribute as
advised by the EMPLOYER to the FUND. These contributions will be credited
to the MEMBER'S ACCUMULATED CREDIT.
The additional voluntary contributions may either be deducted from the
MEMBER'S PENSIONABLE EARNINGS at the end of each pay-period, or paid
in cash by the MEMBER to the EMPLOYER.
68561/Revised Rules 2010/AL 22.

3.3. TRANSFERS FROM OTHER FUNDS
1. Transfers other than in terms of Rule 3.3.2. below
A MEMBER may transfer to the FUND from any other APPROVED
PENSION FUND, APPROVED PROVIDENT FUND or APPROVED
PRESERVATION FUND, any amount payable in respect of his
participation under such fund, which amount will be credited to the
MEMBER'S ACCUMULATED CREDIT.
2. Transfers or amalgamation of another organisation with the EMPLOYER
If another organisation transfers to or amalgamates with the
EMPLOYER, the assets and liabilities of the APPROVED PENSION
FUND or APPROVED PROVIDENT FUND in respect of the employees
of such organisation may, subject to section 14 of the ACT, be
transferred to the FUND. Such employees will become MEMBERS of
the FUND and any amounts transferred in respect of their participation in
such fund will be credited to the MEMBER’S ACCUMULATED CREDIT.
3. Any contribution election made by a MEMBER in terms of the Rules
must apply to any amount that has been credited to the MEMBER’S
ACCUMULATED CREDIT in terms of Rules 3.3.1 or 3.3.2.
3.4. EMPLOYER'S CONTRIBUTIONS
1. The EMPLOYER must make a monthly contribution in respect of each
MEMBER equal to a percentage of 1/12 th of each MEMBER'S
PENSIONABLE EARNINGS as follows:
(a)
towards the MEMBER’S ACCUMULATED CREDIT
(i)
(ii)
8,5% in the case of a MEMBER who is eligible for
disability income benefits in terms of the DISABILITY
INCOME PLAN, provided that the aforementioned
contribution can be increased up to 9,5%, should the
EMPLOYER decide to contribute more;
9,5% in the case of a MEMBER who is not eligible for
disability income benefits in terms of the DISABILITY
INCOME PLAN;
68561/Revised Rules 2010/AL 23.

(b) towards the cost of the LIFE ASSURANCE BENEFIT, 2%;
(c)
towards administration charges and other FUND expenses,
0,5%.
2. The contribution payable in respect of a MEMBER in receipt of a
disability income benefit in terms of the DISABILITY INCOME PLAN, will
be paid on behalf of the EMPLOYER by the INSURER underwriting such
benefit.
3. If the cost to provide the LIFE ASSURANCE BENEFIT is less than the
contribution in terms of Rule 3.4.1.(b), the balance, after deducting the
actual cost, will be credited to the MEMBER'S ACCUMULATED
CREDIT.
If the cost to provide for administration charges is less than the
contribution in terms of Rule 3.4.1.(c), the balance, after deducting the
actual cost, will be credited to the MEMBER'S ACCUMULATED CREDIT
4. Notwithstanding Rule 3.4.1., the EMPLOYER must make a contribution
equal to 11% of the MEMBER'S PENSIONABLE SHORT-TERM
INCENTIVE towards the MEMBER'S ACCUMULATED CREDIT in the
case of an employee who elected to make a portion of his Short-Term
Incentive pensionable. The contribution will be credited to the
MEMBER'S ACCUMULATED CREDIT in the month the Short-Term
Incentive is paid.
5. The EMPLOYER may make any additional contribution to be credited to
the EMPLOYER Surplus Account on the understanding that this may or
may not be tax deductible in its hands depending on any requirement of
the COMMISSIONER. Any contribution made may be made with the
express purpose of augmenting the benefits payable in terms of Rules 7,
8 and 9 to a particular MEMBER or group of MEMBERS.
68561/Revised Rules 2010/AL 24.

3.5. PAYMENT OF CONTRIBUTIONS
1. Contributions must be paid by the EMPLOYER to the FUND by the end
of the calendar month to which such contributions relate. Contributions
must be paid in accordance with section 13A of the ACT.
2. Any surplus credited to the EMPLOYER Surplus Account in terms of
Rule 4.2.2., may be used by the EMPLOYER to finance the contributions
in terms of Rule 3.4. and Rule 6.4. for such period that the contributions
can be funded from this account. Should the balance in the EMPLOYER
Surplus Account no longer be sufficient to finance the EMPLOYER’S
contributions in terms of Rule 3.4., the EMPLOYER is to pay these
contributions to the FUND in terms of Rule 3.5.1.
68561/Revised Rules 2010/AL 25.

RULE 4 : FINANCIAL STRUCTURE
4.1. FUND ACCOUNTS
1. BANK ACCOUNT
(a)
(b)
(c)
The MANAGEMENT BOARD must open a BANK ACCOUNT in
the name of the FUND.
The FUND’s BANK ACCOUNT must be used as the operating
account of the FUND for the purpose of receiving contributions
and paying benefits and expenses whenever practicable.
All contributions and cash transfers-in payable to the FUND must
be transmitted directly into the FUND’s BANK ACCOUNT.
Contributions and transfers-in not required for paying current
expenses must, as soon as practicable, be invested in such
manner as determined by the MANAGEMENT BOARD.
2. Ledger Accounts
The ADMINISTRATOR will maintain eight ledger accounts in respect of
the FUND.
The four Core Accounts will be known as the:
• Accumulation Account;
• EMPLOYER Surplus Account;
• MEMBER Surplus Account;
• Investment Account;
The three Contingency Reserve Accounts will be known as the:
• Contingency Reserve Account (Expense Risk);
• Contingency Reserve Account (Data Reconciliation);
• Contingency Reserve Account (Death Benefits).
The account for all unclaimed benefits will be known as the:
• Unclaimed Benefits Account.
68561/Revised Rules 2010/AL 26.

The Contingency Reserve Accounts will be managed to their long term
levels in terms of Rule 4.5.4.
Each account will be maintained separately from the others and
transfers between accounts will take place only as specified in the
Rules.
4.2. CORE ACCOUNTS
4.2.1. ACCUMULATION ACCOUNT
1. The FUND must keep an Accumulation Account in respect of
each individual MEMBER reflecting the retirement funding being
done for the MEMBER.
2. The Accumulation Account is a continuous record of UNITS
bought, sold and held for the MEMBER in the different
INVESTMENT FUNDS.
3. No retrospective corrections to Accumulation Accounts will be
made. Any corrections made must take into account the effect of
the time factor, and the process must be approved by the
ACTUARY and the MANAGEMENT BOARD.
4. The Accumulation Account sets out the debits and credits listed
below, where applicable to the MEMBER:
(a) DEBITS (b) CREDITS
(i) Any commutation value paid to
the MEMBER in terms of Rule
7.3.1.
(ii) Any amount paid to the
INSURER in terms of Rule
7.3.2.
(iii) Any withdrawal payment in
terms of Rule 9.1.
(i) Any opening balance comprising
the MEMBER’S TRANSFER
AMOUNT, if applicable.
(ii) Total contributions by the
MEMBER in terms of Rules 3.1.,
3.2. and, if applicable, Rule 3.3.
(iii) EMPLOYER contributions in
terms of Rules 3.4.1.(a), 3.4.3.
and 3.4.4. and transfers from the
EMPLOYER Surplus Account as
contemplated in Rule 3.5.2.
68561/Revised Rules 2010/AL 27.

(iv) The death benefit paid in
terms of Rule 8.1.3.
(v) Any costs associated with the
exercise of any election or
SWITCHING as determined by
the MANAGEMENT BOARD.
(vi) Such portion of any asset
management fees that the
INVESTMENT FUND in which
a MEMBER’S
ACCUMULATION ACCOUNT
may be invested does not
permit the ASSET MANAGER
to deduct from the assets
constituting such
INVESTMENT FUND or the
income therefrom prior to
determining the unit price, as
is determined by the
MANAGEMENT BOARD.
Once debited, the amount
must be paid to the
Contingency Reserve Account
(Expense Risk).
(vii) Any partial benefit payment as
allowed by the ACT.
(iv) Amounts transferred from any
other Account as determined by
the MANAGEMENT BOARD in
consultation with the
ACTUARY.
(v) Any allocations from the
MEMBER Surplus Account.
(vi) Amounts received in respect of
penalties levied and received in
accordance with Section 13A of
the ACT payable by an
EMPLOYER on the late
payment of contributions to the
FUND, for the MEMBERS
concerned.
(vii) Any BANK INTEREST earned
on contributions under
Rule 4.7(2)(a)(iii) or on amounts
involved in the SWITCHING
process.
68561/Revised Rules 2010/AL 28.

(viii) Any cost involved in tracing
the MEMBER or, on his death,
his DEPENDANTS.
(viii) Any increase due to data
changes.
(ix) Any decrease due to data
changes.
(x) Any amount required to cover
the expenses in terms of Rule
4.5.10. which is transferred to
the Contingency Reserve
Account (Expense Risk).
(xi) Undistributed losses, as
credited to the Contingency
Reserve Accounts, as
contemplated in Rule 4.5.4.
4.2.2. EMPLOYER SURPLUS ACCOUNT
1. An EMPLOYER Surplus Account is established in terms of
Section 15E of the SURPLUS ACT. The debits listed below may
only occur at the request of the EMPLOYER and may be decided
upon by the APPOINTED BOARD MEMBERS alone.
2. Notwithstanding the provisions of Rule 2.6.1., it is specifically
provided that the APPOINTED BOARD MEMBERS may advise
the MANAGEMENT BOARD on the manner in which the assets
in the EMPLOYER Surplus Account are to be invested, subject to
the approval of the PRINCIPAL EMPLOYER.
3. The EMPLOYER Surplus Account contains the debits and credits
listed below:
(a) DEBITS (b) CREDITS
(i)
EMPLOYER contributions in
(i)
Any portion of the surplus in the
terms of Rule 3.4.1. and Rule
FUND allocated to the
6.4.3.2.
PRINCIPAL EMPLOYER.
68561/Revised Rules 2010/AL 29.

(ii) The costs of providing
pensions to the children of
PENSIONERS who
transferred from the
PREVIOUS FUND on the
same terms and conditions as
contained in the rules of the
PREVIOUS FUND.
(iii) Such other costs requested
by a PARTICIPATING
EMPLOYER and approved by
the APPOINTED BOARD
MEMBERS in consultation
with the ACTUARY.
(ii) The contribution in terms of
Rule 3.4.1.(b). and Rule
6.4.3.2.(b) to provide the CORE
LIFE COVER in terms of Rule
8.1.4.
(iii) Any amount transferred into
this FUND from an employer
surplus account in another fund
in which the EMPLOYER
participates in terms of
Section 15E of the ACT.
(iv) Any improper use in terms of
section 15B(6) of the Act.
(v) The CORE LIFE COVER
payable in terms of Rule 8.1.4.
(vi) Any payments, transfers to
any other Account in the
FUND, or transfer to another
fund, at the request of the
EMPLOYER, as resolved by
the MANAGEMENT BOARD
from time to time subject to
Section 15E of the ACT.
Should the balance in the EMPLOYER Surplus Account become
negative, the balance will constitute a debt owed by the EMPLOYER to
the FUND which the EMPLOYER must redeem within a period to be
agreed with the MANAGEMENT BOARD in consultation with the
ACTUARY.
68561/Revised Rules 2010/AL 30.

4.2.3. MEMBER SURPLUS ACCOUNT
1. A MEMBER Surplus Account is established in terms of Section
15D of the SURPLUS ACT. Only ELECTED BOARD MEMBERS
may decide on the application of the MEMBER Surplus Account.
This account may not be used for the benefit of MEMBERS
selectively. The balance in this account may not be utilised by the
EMPLOYER in any way. Discretionary expenses may not be
debited to this account.
2. Notwithstanding the provisions of Rule 2.6.1., it is specifically
provided that the ELECTED BOARD MEMBERS may advise the
MANAGEMENT BOARD on the manner in which the assets in
the MEMBER Surplus Account are to be invested.
3. The MEMBER Surplus Account contains the debits and credits
listed below:
(a) DEBITS (b) CREDITS
(i) Each MEMBER'S portion, if
any, on exit from the FUND.
(ii) Allocations to MEMBERS as
approved by the ELECTED
BOARD MEMBERS in
consultation with the
ACTUARY.
(i)
Any portion of the surplus in the
FUND allocated to the
MEMBERS.
4.2.4. INVESTMENT ACCOUNT
The Investment Account contains the debits and credits listed below:
(a) DEBITS (b) CREDITS
(i)
Tax payable by the FUND,
where applicable.
(i) Any payments or transfers from
the EMPLOYER Surplus
Account.
68561/Revised Rules 2010/AL 31.

(ii) Interest in respect of benefit
payments in terms of Rule
4.5.3.
(iii) Any interest payable by the
FUND in respect of negative
balances held in the BANK
ACCOUNT in respect of any
Contingency Reserve
Accounts, as per Rule 4.3.4.
(ii) Undistributed profits, as debited
from the Contingency Reserve
Accounts, as contemplated in
Rule 4.5.4.
(iii) Any net interest earned by the
FUND in respect of positive
balances held in the BANK
ACCOUNT in respect of any
Contingency Reserve Accounts,
as per Rule 4.3.4.
4.3. CONTINGENCY RESERVE ACCOUNTS
4.3.1. CONTINGENCY RESERVE ACCOUNT (EXPENSE RISK)
The long term level of this account will be the level considered by the
MANAGEMENT BOARD, in consultation with the ACTUARY, to be
sufficient to protect the FUND against the risk that future expenses
exceed future contributions towards expenses. This account will facilitate
adjustments to the Accumulation Account arising from expenses.
Should the purpose of this account become obsolete, the account will be
dissolved by transferring any debit or credit balance to the Investment
Account.
The Contingency Reserve Account (Expense Risk) contains the debits
and credits listed below:
(a) DEBITS (b) CREDITS
(i) Administration expenses
incurred by the FUND as
advised by the
ADMINISTRATOR and
approved by the
(i) Contributions in terms of Rule
3.4.1.(b) and Rule 6.4.3.2.(b) or
transfers from the EMPLOYER
Surplus Account as
contemplated in Rule 3.5.2.
MANAGEMENT BOARD from
time to time.
(ii) Any amount deemed by the (ii) Any amount determined by the
68561/Revised Rules 2010/AL 32.

MANAGEMENT BOARD, on
the advice of the ACTUARY,
to be in excess of that required
to meet administration
expenses, which is transferred
to the Investment Account as
contemplated in Rule 4.5.4.
(iii) Such other expenses incurred
by the FUND from time to time
as authorised by the
MANAGEMENT BOARD.
(iv) Any amount required to cover
the expenses in terms of Rule
4.5.10.
MANAGEMENT BOARD, on
the advice of the ACTUARY, to
meet any shortfall in
administration expenses, which
is transferred from the
Accumulation Account as
contemplated in Rule 4.5.4.
(iii) Amounts received from the
Accumulation Account and the
Unclaimed Benefits Account to
cover the expenses in terms of
Rule 4.5.10.
4.3.2. CONTINGENCY RESERVE ACCOUNT (DATA RECONCILIATION)
The long term level of this account is expected to be zero. It will be used
to facilitate the correction of known data errors on the Accumulation
Account. Should the purpose of this account become obsolete, the
account will be dissolved by transferring any debit or credit balance to
the Investment Account.
The Contingency Reserve Account (Data Reconciliation) contains the
debits and credits listed below:
(a) DEBITS (b) CREDITS
(i) Any increases in the
Accumulation Account due to
data changes.
(ii) Any profits determined by the
MANAGEMENT BOARD, on
the advice of the ACTUARY,
which are transferred to the
Investment Account as
contemplated in Rule 4.5.4.
(i) Any decreases in the
Accumulation Account due to
data changes.
(ii) Any losses determined by the
MANAGEMENT BOARD, on
the advice of the ACTUARY,
which are transferred from the
Accumulation Account as
contemplated in Rule 4.5.4.
68561/Revised Rules 2010/AL 33.

4.3.3. CONTINGENCY RESERVE ACCOUNT (DEATH BENEFITS)
The long term level of this account is expected to be zero. This account
will facilitate adjustments to the Accumulation Account, if any, arising
from death benefits provided by the FUND. Should the purpose of this
account become obsolete, the account will be dissolved by transferring
any debit or credit balance to the Investment Account.
The Contingency Reserve Account (Death Benefits) contains the debits
and credits listed below:
(a) DEBITS (b) CREDITS
(i) Any premiums in respect of
the reinsurance of the LIFE
ASSURANCE BENEFIT in
terms of Rule 8.4. payable to
the INSURER.
(ii) The LIFE ASSURANCE
BENEFIT payable in terms of
Rules 8.1.1. and 8.1.2.
(iii) Any amount deemed by the
MANAGEMENT BOARD, on
the advice of the ACTUARY,
to be in excess of that
required to meet the
premiums required by the
INSURER, which is
transferred to the Investment
Account as contemplated in
Rule 4.5.4.
(i) Contributions in respect of the
LIFE ASSURANCE BENEFIT in
terms of Rule 3.4.1.(b) or
transfers from the EMPLOYER
Surplus Account as
contemplated in Rule 3.5.2.
(ii) Any reinsurance payments
made to the FUND by the
INSURER.
(iii) Any amount determined by the
MANAGEMENT BOARD, on
the advice of the ACTUARY, to
meet any shortfall in premiums
required by the INSURER,
which is transferred from the
Accumulation Account as
contemplated in Rule 4.5.4.
(iv) The accumulated value as at
1 July 2004 of any previous
excess of risk contributions over
risk premiums.
68561/Revised Rules 2010/AL 34.

4.3.4 Any net interest earned or payable by the FUND in respect of positive or
negative balances held in the BANK ACCOUNT in respect of any
Contingency Reserve Accounts will be credited to the Investment
Account. The reconciliation of these amounts will be managed in
consultation with the ACTUARY on an annual basis when an actuarial
valuation or review is conducted.
4.4. UNCLAIMED BENEFITS ACCOUNT
The Unclaimed Benefits Account contains the debits and credits listed below:
(a) DEBITS (b) CREDITS
(i) Any amount validly claimed by
any BENEFICIARY.
(i)
All UNCLAIMED BENEFITS.
(ii) Any UNCLAIMED BENEFIT
payable to any fund legally
entitled to hold unclaimed
benefits in accordance with
the provisions of the ACT and
the requirements of the
COMMISSIONER.
(ii) Any payments or transfers from
the EMPLOYER SURPLUS
ACCOUNT.
(iii) Any amount required to cover
the expenses in terms of Rule
4.5.10. which is transferred to
the Contingency Reserve
Account (Expense Risk).
4.5. OTHER FINANCIAL MATTERS
1. Calculation of ACCUMULATED CREDIT
(a)
(b)
The ACCUMULATED CREDIT is equal to the balance available
in the MEMBER’S Accumulation Account in respect of a
MEMBER.
The value of a MEMBER’S Accumulation Account is based on
the proceeds that are due when the UNITS in each
68561/Revised Rules 2010/AL 35.

INVESTMENT FUND comprising that MEMBER’S Accumulation
Account are realised or switched.
(c)
In the event of the MEMBER'S retirement, withdrawal from
service or death, the ACCUMULATED CREDIT is, if applicable,
enhanced by transfers from the Investment Account, and any
other Account at the discretion of the MANAGEMENT BOARD, in
terms of Section 15G of the ACT.
2. Housing Loan Guarantee
(a)
(b)
(c)
Subject to EMPLOYER agreement, the FUND may furnish a
guarantee in respect of a loan by a financial institution, as
approved by the MANAGEMENT BOARD from time to time, to a
MEMBER for the purposes referred to in Section 19(5)(a) of the
ACT. Such guarantee will be subject to the requirements of the
REGISTRAR and the MANAGEMENT BOARD.
Should a MEMBER, while being a MEMBER, default on
repayment of a loan in respect of which the FUND has furnished
a guarantee as contemplated above, the MANAGEMENT
BOARD may, as a last resort and after it is satisfied that no other
arrangement for the repayment of the loan can be made, instruct
that the resultant liability of the FUND be recouped from the
MEMBER’S Accumulation Account together with the employees’
tax that by law may be payable to the COMMISSIONER as a
result of such recoupment.
If, on transfer of the MEMBER’S membership to another
APPROVED PENSION FUND or APPROVED PROVIDENT
FUND, the FUND is liable under a guarantee referred to above
and the MANAGEMENT BOARD is satisfied that it is not
otherwise reasonably possible to negotiate repayment of the
amount owing to the FUND by the MEMBER in respect of that
liability or to transfer the guarantee, the FUND may deduct, from
the amount that the FUND must transfer to the other fund for the
benefit of the MEMBER, the amount owing as well as the
employees’ tax that by law may be payable to the
COMMISSIONER as a result of such deduction.
68561/Revised Rules 2010/AL 36.

(d)
Any amount recouped from the MEMBER’S Accumulation
Account while being a MEMBER or deducted on transfer of
membership in respect of a guarantee referred to will be deemed
to be a benefit payment made by the FUND to the MEMBER for
reasons other than as a result of death or retirement.
3. Interest on Benefit Payments
To the extent that interest may be due in respect of any amount payable
by the FUND in terms of these Rules, then such interest is payable at
the same rate and capitalised in the same way, if at all, as the net
interest received by the FUND; provided that:
(a)
(b)
(c)
any such interest must be reduced by any tax thereon due by the
FUND;
no such interest is payable in respect of any period during which
interest was already received on the amount payable and
distributed as part of that amount;
that portion of the interest added up until the date of the
application to the COMMISSIONER for the tax directive will be
included in the application to the COMMISSIONER and that
portion of the interest added from the date of the application to
the COMMISSIONER to the date of payment of the benefit is
subject to taxation in the hands of the BENEFICIARY.
68561/Revised Rules 2010/AL 37.

4. Undistributed Profits and Losses
Any undistributed profits and losses of the FUND arising from time to
time (other than from the EMPLOYER Surplus Account) may be
distributed in such manner as the MANAGEMENT BOARD may
determine subject to the advice of the ACTUARY.
5. Actuarial Valuation
The ACTUARY will in accordance with the provisions of Section 16 of
the ACT and Regulation 15 of the Regulations to the ACT, undertake an
actuarial valuation at least once every 3 years. Copies of the actuarial
report will be furnished to both the MANAGEMENT BOARD and the
REGISTRAR within 12 months of the expiry of the period to which the
valuation relates.
6. Currency
Contributions and benefits are payable in South African currency.
7. Money of the FUND may not revert to any PARTICIPATING
EMPLOYER.
Except as otherwise provided in Rule 11.3., no money of the FUND will
revert to or become the property of any PARTICIPATING EMPLOYER.
8. Transfers out of the FUND
(a)
(b)
If a MEMBER or a group of MEMBERS is no longer eligible to
participate under the FUND, their participation under the FUND
will cease.
The assets and liabilities of the FUND relating to such MEMBER
or MEMBERS, must be transferred to another APPROVED
PENSION FUND, APPROVED PROVIDENT FUND, APPROVED
PRESERVATION FUND or APPROVED RETIREMENT
ANNUITY FUND, subject to the requirements of the ACT unless
the EMPLOYER advises the MANAGEMENT BOARD that each
such MEMBER or category of MEMBERS, who would otherwise
be so transferred, must be permitted to withdraw from the FUND
due to their contracts of employment being terminated as a result
68561/Revised Rules 2010/AL 38.

of a transfer in terms of Section 197 of the Labour Relations Act,
1995.
(c)
The EMPLOYER may apply to the MANAGEMENT BOARD in
terms of Section 15E of the ACT to transfer some or all of the
credit balance held in the EMPLOYER Surplus Account to a
comparable account under another fund in which the
EMPLOYER participates. Once the approval of the REGISTRAR
and the MANAGEMENT BOARD has been received, such
amount may be transferred to the other fund with interest as
determined by the MANAGEMENT BOARD from date of
application to the receipt of approval.
9. Actuarial Surplus
(a)
(b)
The only portion of the assets of the FUND that may be utilised
by, or for the benefit of the EMPLOYER, is any credit balance in
the EMPLOYER Surplus Account.
Notwithstanding anything to the contrary in these Rules, it is
specifically provided that any benefit payable in terms of these
Rules shall not be less than the MEMBER'S minimum individual
reserve. For the purposes hereof, "minimum individual reserve"
means an amount determined in terms of Section 14B of the
SURPLUS ACT.
10. Expenses
Notwithstanding anything to the contrary in any Rule, the
MANAGEMENT BOARD may at any time debit the Accumulation
Account and the Unclaimed Benefits Account respectively with the
following:
(a)
Accumulation Account:
(i)
(ii)
any disbursement, levy, expense, tax or provision
attributable to the MEMBER; and
expenses incurred by the FUND related to the tracing of
any BENEFICIARY or any investigation done in terms of
section 37C of the ACT.
68561/Revised Rules 2010/AL 39.

(b)
Unclaimed Benefits Account:
(i)
(ii)
an administration fee equal to 75% of the administration
fee levied for an active MEMBER, to be deducted from a
former MEMBER'S unclaimed benefit; and
any other amounts as determined by the MANAGEMENT
BOARD to fund the expenses of the FUND attributable to
the former MEMBER.
4.6. INVESTMENT CHOICE
1. The MANAGEMENT BOARD may from time to time:
(a)
(b)
prescribe the terms and conditions that will apply to any right
given to a MEMBER to choose the INVESTMENT FUNDS
underlying the MEMBER'S benefits in terms of the Rules
(hereinafter referred to as "MEMBER investment choice"),
provided that such right and any investment made will always be
subject to the MANAGEMENT BOARD'S overarching control;
determine the INVESTMENT FUNDS that are available for
MEMBER'S investment choice.
2. The MANAGEMENT BOARD must ensure that investment agreements
are entered into by the FUND with the ASSET MANAGER in respect of
each INVESTMENT FUND.
3. Where MEMBERS are allowed to select INVESTMENT FUNDS
(including any default or INVESTMENT FUND which is used to preserve
capital), the MANAGEMENT BOARD must determine, and review from
time to time:
(a)
(b)
the INVESTMENT FUND or INVESTMENT FUNDS to be used;
the default INVESTMENT FUND, if any.
4. In determining the matters in Rule 4.6.3, the MANAGEMENT BOARD
must consider:
(a)
what is in the best interests of the FUND and its MEMBERS;
68561/Revised Rules 2010/AL 40.

(b)
(c)
(d)
the investment objectives of each INVESTMENT FUND;
the nature of investments which are appropriate to the investment
objectives of each INVESTMENT FUND with reference, if
applicable, to different categories of MEMBERS;
the types of investments which the FUND is prepared to make
and those which it is not prepared to make,
and must describe the resulting investment strategy in an investment
policy statement which is properly documented and kept up to date.
5. The MANAGEMENT BOARD must, in respect of each INVESTMENT
FUND:
(a)
(b)
(c)
(d)
determine one or more appropriate benchmarks of performance
for each INVESTMENT FUND, noting that one or more inflationrelated,
index and/or peer-related benchmarks may be relevant
for the assessment of performance of that INVESTMENT FUND;
measure the performance of each INVESTMENT FUND in terms
of those benchmarks;
review the appropriateness of the INVESTMENT FUNDS in the
light of its performance, new product offerings available to the
FUND and continued compliance with the criteria set down in the
investment policy statement;
review from time to time the appropriateness of the benchmarks.
6. Where the assets are owned by the FUND or the MANAGEMENT
BOARD has rights in respect of the investments underlying a POLICY
OF INSURANCE, the MANAGEMENT BOARD must exercise any rights
attaching to those investments of the FUND, in particular any voting
rights, on the basis that the exercise of such rights is for the benefit of
the MEMBERS of the FUND who participate in the corresponding
INVESTMENT FUNDS.
68561/Revised Rules 2010/AL 41.

7. The MANAGEMENT BOARD:
(a)
(b)
(c)
(d)
may close an INVESTMENT FUND to new investments. This
closure to new investments may be for any reason determined by
the MANAGEMENT BOARD to be in the best interests of the
FUND or the MEMBERS;
must withdraw an INVESTMENT FUND if it does not comply with
the requirements of any law applicable to the FUND, including
any Reserve Bank requirement or any requirements stipulated by
the REGISTRAR;
may require any MEMBER to withdraw so much of an
INVESTMENT FUND as is necessary in order to ensure that the
FUND is compliant with the requirements of any law; provided
that such compliance requirements are applicable to every
MEMBER;
must, where the MANAGEMENT BOARD has changed or
withdrawn investments on behalf of the MEMBER in terms of this
Rule, invest these amounts in an INVESTMENT FUND that the
MANAGEMENT BOARD considers appropriate, if the MEMBER
has not elected another INVESTMENT FUND or advised the
FUND where the amounts should be invested;
8. The MANAGEMENT BOARD may introduce new INVESTMENT
FUNDS, in which case MEMBERS must be informed of the new
opportunity available to them for selection.
9. The MANAGEMENT BOARD must make reasonable provision for the
MEMBERS to have access to information relating to:
(a)
(b)
(c)
(d)
the INVESTMENT FUNDS available for selection by a MEMBER;
the INVESTMENT CONDITIONS attaching to any INVESTMENT
FUND which is or may be selected by such MEMBER;
the past investment performance of each INVESTMENT FUND;
the investment strategy of and risk profile of each INVESTMENT
FUND; and
68561/Revised Rules 2010/AL 42.

(e)
the charges relating to each INVESTMENT FUND, and switching
between any INVESTMENT FUND
provided that publishing such information on a website for the FUND
shall be regarded as reasonable provision.
10. The FUND’s liability in respect of the amounts or the manner of
treatment of a MEMBER’s investment in any INVESTMENT FUND will
be governed by:
(a)
(b)
the terms and conditions of the investment agreement for such
INVESTMENT FUND, as entered into in terms of Rule 4.6.2, and
the terms and conditions as laid down in the policy issued to the
FUND by the ASSET MANAGER.
4.7. WORKINGS OF MEMBER INVESTMENT CHOICE
1. MEMBER investment choice will be offered to MEMBERS with effect
from 1 October 2010.
2. (a) The purchase and sale of UNITS in UNITISED INVESTMENTS will
occur in the following manner and the MANAGEMENT BOARD
must ensure that the MEMBERS, are fully informed of the process:
(i)
(ii)
(iii)
UNITS purchased in a UNITISED INVESTMENT with the
MEMBER’S retirement funding contributions will only be
allocated to the MEMBER on the date on which the ASSET
MANAGER notifies the FUND that the UNITS have been
purchased;
the FUND invests such contributions only once they are
received from the EMPLOYER and following the
reconciliation of the data, as required by the ACT, with the
contributions so received;
in the event of a switch from one INVESTMENT FUND to
another INVESTMENT FUND, BANK INTEREST earned
on amounts held in the BANK ACCOUNT arising from the
sale of units and prior to being re-invested, will be allocated
to the MEMBER when the investment is made;
68561/Revised Rules 2010/AL 43.

(iv)
disinvestments for benefit payments are made on receipt of
an EXIT NOTIFICATION or for purposes of Rule 5 on the
termination date and are dealt with in terms of Rule 4.7.3.
(b)
(c)
The FUND may at any time elect to change, or be required in
terms of Rule 4.6.7 to change an INVESTMENT FUND chosen in
Rule 4.7.2 or 4.7.3 to another INVESTMENT FUND in respect of
contributions already invested as well as future, current and
additional voluntary contributions, with due regard to the range of
INVESTMENT FUNDS.
MEMBERS may elect to switch, or be required in terms of
Rule 4.6.7 to switch some or all of the UNITS invested in the
INVESTMENT FUND from one INVESTMENT FUND to another.
Any switch instruction advised by the MEMBER to the FUND must
in turn be advised by the FUND to the ASSET MANAGER within a
reasonable period, subject to the conditions of the INVESTMENT
FUND from which and to which UNITS are being switched. The
UNITS so switched may be reduced by the deduction of any fees
payable in terms of the conditions of the INVESTMENT FUND to
or from which such UNITS are switched.
3. On receipt of an EXIT NOTIFICATION or on the date the FUND is
advised of the MEMBER'S withdrawal from the FUND or the effective
date of the decision contemplated in Rule 5.1.1, and once a
reconciliation of data and contributions received from the EMPLOYER
has been finalised by the ADMINISTRATOR, the ACCUMULATED
CREDITS of the MEMBERS affected must, subject to the INVESTMENT
CONDITIONS, be disinvested from the INVESTMENT FUND in which
the ACCUMULATED CREDIT was invested and invested in the BANK
ACCOUNT until it is paid to the MEMBER or his BENEFICIARY or it is
used to purchase a pension in accordance with Rule 7.3.2 or it is
credited to the Unclaimed Benefits Account in terms of Rule 11.6
4. In respect of the EMPLOYER Surplus Account, the EMPLOYER must
select an applicable INVESTMENT FUND from the range of
INVESTMENT FUNDS made available by the MANAGEMENT BOARD,
where the balance to the credit of this Account must be invested.
68561/Revised Rules 2010/AL 44.

(a)
(b)
(c)
All the provisions of Rule 4.7 will apply to the EMPLOYER as if
the EMPLOYER is a MEMBER.
Where Rule 3.5.2 is applicable, then the amount referred to in
Rule 3.5.2 must be disinvested and regarded as contributions of
the affected MEMBERS and dealt with in terms of Rule 4.7.2.(a).
Where Rule 3.4.5 is applicable, then the amount referred to in
Rule 3.4.5 must be disinvested and regarded as part of the
affected MEMBERS’ ACCUMULATED CREDIT.
5. Each INVESTMENT FUND available must be unitised on the following
basis:
(a)
(b)
(c)
(d)
Any amount invested purchases a number of UNITS at the
purchase price per UNIT, as determined by the ASSET
MANAGER, coincident with or next following the date of the
investment, provided that an amount which is invested in an
UNITISED INVESTMENT at a date other than at the date of
investment shall accrue BANK INTEREST less any expenses
from date of receipt by the FUND to the date on which UNITS are
purchased.
The value, at any time of an Account is the number of UNITS
held by the Account in that UNITISED INVESTMENT multiplied
by the sale price per UNIT, as determined by the ASSET
MANAGER.
When an amount is to be disinvested, the number of UNITS sold
must be the amount to be disinvested divided by the sale price
per UNIT as determined by the ASSET MANAGER.
The sale price in respect of a UNIT must be determined by the
ASSET MANAGER as the fair value of all the assets held in that
UNITISED INVESTMENT on the DATE OF REALISATION
(before any disinvestments of units), less any expenses payable
(including the expenses involved in the sale of any underlying
investments in order to make the payment in respect of any
UNITS to be disinvested, any provision for tax where tax is levied
on the investments managed by the ASSET MANAGER and the
68561/Revised Rules 2010/AL 45.

fees to which the ASSET MANAGER is entitled), and thereafter
divided by the number of UNITS in issue, including the number to
be disinvested at that date.
(e)
A certificate issued by the ASSET MANAGER of the value of a
UNIT in a UNITISED INVESTMENT on any date constitutes
prima facie proof of the market value of such UNIT on that date.
68561/Revised Rules 2010/AL 46.

5.1. DISCONTINUANCE
RULE 5 : DISCONTINUANCE OF THE FUND,
OR TRANSFER AND AMALGAMATION
1. The MANAGEMENT BOARD may, with the written agreement of the
PRINCIPAL EMPLOYER, discontinue the FUND.
If the FUND is to be discontinued, the MANAGEMENT BOARD will,
subject to the approval of the REGISTRAR, appoint a liquidator who will
discontinue the FUND in terms of Rule 5.1.2. The discontinuance of the
FUND will commence from the date on which the liquidator's
appointment is approved.
2. The value of the assets of the FUND will be determined as at the date of
discontinuance of the FUND. Each MEMBER’S equitable share of such
assets excluding any balance in the EMPLOYER Surplus Account will
be determined and the liquidator will deal with these assets in the
following manner:
(a)
(b)
(c)
The liquidator may direct that, subject to the approval of the
REGISTRAR, such equitable shares be paid to an APPROVED
PENSION FUND, APPROVED PROVIDENT FUND or
APPROVED PRESERVATION FUND for the benefit of
MEMBERS then participating hereunder.
The liquidator may direct that such equitable shares be paid to
the MEMBERS in cash (together with any interest thereto after
discontinuance).
Alternatively, subject to the approval of the COMMISSIONER
and the REGISTRAR, the liquidator may decide on some other
basis of dealing with such balances.
Any remaining balance in the EMPLOYER Surplus Account shall be paid
to the EMPLOYER, after the liability for pensions in terms of Rule
4.2.2.(a)(ii) has been provided for. However, if the EMPLOYER was
liquidated prior to such date, any balance in the EMPLOYER Surplus
Account shall be used in the following order of priority, namely:
68561/Revised Rules 2010/AL 47.

(i)
(ii)
(iii)
(iv)
to meet contributions deducted from MEMBERS' earnings and
not paid to the FUND;
to meet contributions due from the EMPLOYER but not paid to
the FUND;
to meet the liability of providing the pensions in terms of Rule
4.2.2.(a)(ii); and
to be distributed amongst the MEMBERS at the liquidation date
and such former members as are eligible in terms of the Rules to
participate in the distribution.
Notwithstanding the above, if the fair value of the assets of the FUND,
less any current liabilities, is less than the minimum individual reserves
payable in respect of the existing MEMBERS and the former members
who may participate in the distribution of the assets (with appropriate
adjustment for benefits previously paid in the case of former members),
the shortfall shall represent a debt by the EMPLOYER to the FUND.
3. For the purposes of this Rule, "MEMBER" will include a MEMBER who
has left the EMPLOYER'S service during the 12-month period preceding
the date of discontinuance for any reason other than death. Any benefit
already paid to such MEMBER will be taken into account in determining
the amount allocated to him in terms of this Rule.
5.2. PARTIAL DISCONTINUANCE
If a PARTICIPATING EMPLOYER or part of any PARTICIPATING EMPLOYER
has decided, for whatever reason, to cease its participation in the FUND, the
MANAGEMENT BOARD (on written advice of such EMPLOYER) will give
written notice to the ADMINISTRATOR of the PARTICIPATING EMPLOYER'S
intention to cease such participation from a specified date. As at such date of
discontinuance, the liquidator appointed in terms of the ACT, will determine the
ACCUMULATED CREDITS in respect of the relevant MEMBERS in the service
of the PARTICIPATING EMPLOYER. Such amount will mutatis mutandis be
dealt with in terms of Rule 5.1. as if the FUND was discontinued as at such
date.
68561/Revised Rules 2010/AL 48.

5.3. TRANSFER OR AMALGAMATION
If the PRINCIPAL EMPLOYER or part of it transfers to or amalgamates with
some other organisation, the MANAGEMENT BOARD may elect as from a date
specified in writing to the ADMINISTRATOR:
1. subject to the approval of the REGISTRAR, to transfer the assets and
liabilities of the FUND to a new or existing APPROVED PENSION
FUND, APPROVED PROVIDENT FUND or APPROVED RETIREMENT
ANNUITY FUND for the benefit of the MEMBERS and other
BENEFICIARIES; or
2. in the case of a transfer of business under Section 197 of the Labour
Relations Act No. 66 of 1995, as an alternative to transferring the assets
and liabilities to a fund mentioned in Rule 5.3.1, to transfer the assets
and liabilities in respect of affected MEMBERS who so elect, to an
APPROVED PRESERVATION FUND; or
3. to cede the PRINCIPAL EMPLOYER'S rights and obligations under
these Rules to the other organisation; or
4. to discontinue the FUND, in which event the provisions of Rule 5.1. will
apply.
Notwithstanding the provisions of Rule 9.1.1., a MEMBER will not be entitled to
take his ACCUMULATED CREDIT in cash in the case of a transfer in terms of
Section 197 of the Labour Relations Act No. 66 of 1995.
5.4. PARTIAL TRANSFER OR AMALGAMATION
If the whole or part of the business of a PARTICIPATING EMPLOYER transfers
to or amalgamates with some other business, company or organisation, the
provisions of Rule 5.3. will, mutatis mutandis, apply in respect of such
PARTICIPATING EMPLOYER and the MEMBERS in the service of such
PARTICIPATING EMPLOYER, subject to the agreement of the MANAGEMENT
BOARD and the PRINCIPAL EMPLOYER
68561/Revised Rules 2010/AL 49.

PART 3
PARTICIPATION AND BENEFITS
68561/Revised Rules 2010/AL 50.

RULE 6 : PARTICIPATION
6.1. COMPULSORY PARTICIPATION
1. A MEMBER who participated in the FUND immediately prior to
1 October 2010 shall continue to participate in the FUND on or after
1 October 2010.
2. A person who becomes an ELIGIBLE EMPLOYEE on or after
1 January 2010 is obliged to participate in the FUND from the date on
which he becomes an ELIGIBLE EMPLOYEE or such other date that the
EMPLOYER may decide, provided that the EMPLOYER must ensure
that such ELIGIBLE EMPLOYEE is enrolled as a MEMBER by giving
written notice to the FUND as required under the ACT and in the manner
prescribed by the MANAGEMENT BOARD from time to time.
3. Notwithstanding the aforegoing, a person’s participation in respect of
the LIFE ASSURANCE BENEFIT is conditional on his compliance with
the INSURER’S requirements as laid down in the policy issued to the
FUND by the INSURER in respect of such benefit from time to time and
participation in such benefit will only commence once the conditions of
the RISK POLICY have been complied with
6.2. CONTINUATION OF PARTICIPATION
All MEMBERS are obliged to remain MEMBERS until their retirement,
withdrawal from service or death, as the case may be.
6.3. PARTICIPATION OF MEMBERS OF THE OLD MUTUAL NAMIBIA STAFF
PENSION FUND
Members of the Old Mutual Namibia Staff Pension Fund had an option to
transfer their pension rights attributable to service with the EMPLOYER prior to
1 March 1995, from the PREVIOUS FUND to this FUND. The following
provisions apply in respect of such MEMBERS:
• The option is irrevocable;
• The value of such rights was enhanced as a condition of such election;
• The transfer was effective 1 January 1997;
68561/Revised Rules 2010/AL 51.

• The provisions of these Rules will mutatis mutandis apply in respect of
these transferred pension rights;
• No contributions are payable in terms of Rule 3;
• Membership of the FUND will cease upon leaving the service of Old
Mutual Life Assurance Company (Namibia) Limited;
• The transfer of assets from the PREVIOUS FUND was subject to section
14 of the ACT, and
• No MEMBER will, upon or solely as a consequence of such transfer,
receive or become entitled to any benefit or claim upon the assets so
transferred other than in accordance with the provisions of these Rules.
6.4. TEMPORARY ABSENCE OF MEMBERS
1. Absence from the EMPLOYER'S service due to a change in the MEMBER'S
contract of employment:
In the case of absence from the EMPLOYER'S service due to
secondment to the service of a company in THE GROUP for a specified
period in the contract of employment, the MEMBER'S participation in the
FUND will continue and Rule 6.4.2., Rule 6.4.3., Rule 6.4.4. and Rule
6.4.5. will be applicable to such a MEMBER.
For purposes of this Rule:
THE GROUP means Old Mutual plc listed on the LSE and the Group
Companies or Old Mutual plc and its subsidiaries.
2. In respect of a MEMBER who is seconded to a company operating
within the Republic of South Africa, the contributions by and in respect of
the MEMBER will continue to be paid in accordance with Rule 3.
3. In respect of a MEMBER who is seconded to a company that is not
operating in the Republic of South Africa, the contributions by and in
respect of the MEMBER will be as follows:
68561/Revised Rules 2010/AL 52.

1. Member's current contributions
The MEMBER must not make any contributions to the FUND
other than the contributions referred to in Rule 3.2.
2. Employer's contributions
The EMPLOYER must, in accordance with the MEMBER'S
contract of employment, make a monthly contribution in respect
of each MEMBER equal to a percentage of 1/12 th of each
MEMBER'S PENSIONABLE EARNINGS as follows:
(a)
towards the MEMBER’S ACCUMULATED CREDIT,
(i)
(ii)
15% or 16%, whichever is applicable, as advised
by the EMPLOYER to the ADMINISTRATOR from
time to time, in the case of a MEMBER who is
eligible for disability income benefits in terms of
the DISABILITY INCOME PLAN, provided that the
aforementioned contribution can be increased up
to 16% or 17%, whichever is applicable, should
the EMPLOYER decide to contribute more;
16% or 17% whichever is applicable, as advised
by the EMPLOYER to the ADMINISTRATOR from
time to time, in the case of a MEMBER who is not
eligible for disability income benefits in terms of
the DISABILITY INCOME PLAN;
(b) towards the cost of the LlFE ASSURANCE BENEFIT, 2%;
(c) towards administration charges, 0,5%
4. The contribution payable in respect of a MEMBER in receipt of a
disability income benefit in terms of the DISABILITY INCOME PLAN, will
be paid on behalf of the EMPLOYER by the INSURER underwriting such
benefit.
68561/Revised Rules 2010/AL 53.

5. If the cost to provide the LIFE ASSURANCE BENEFIT is less than the
contributions in terms of Rule 6.4.3.2.(b), the balance, after deducting
the actual cost, will be credited to the MEMBER'S ACCUMULATED
CREDIT.
6. Absence from the EMPLOYER’S service for reasons other than
mentioned in Rule 6.4.1.:
If a MEMBER, other than a MEMBER referred to in Rule 6.4.1., is
absent from service and such absence is authorised by the EMPLOYER,
the payment of contributions may or may not be continued for such
period according to the agreement between the EMPLOYER and the
MEMBER. The EMPLOYER must advise the ADMINISTRATOR
accordingly.
68561/Revised Rules 2010/AL 54.

RULE 7 : RETIREMENT BENEFITS
7.1. RIGHT TO A RETIREMENT BENEFIT
1. NORMAL RETIREMENT
A MEMBER may retire at the NORMAL RETIREMENT DATE.
2. EARLY RETIREMENT
A MEMBER qualifies to retire before the NORMAL RETIREMENT DATE
on the following conditions:
(a)
(b)
(c)
(d)
If a MEMBER has attained age 55, (or earlier, if the EMPLOYER
waives this requirement) he may retire from the service of the
EMPLOYER on the first day of any month coinciding with or
following his attainment of age 55, as agreed by the EMPLOYER,
prior to his NORMAL RETIREMENT DATE.
If, on receipt of medical evidence which is satisfactory to the
MANAGEMENT BOARD that a MEMBER is permanently
incapable of efficiently discharging his duties due to sickness,
accident, injury, or incapacity through infirmity of mind or body
not caused by his own fault, the EMPLOYER may retire the
MEMBER at any time before his NORMAL RETIREMENT DATE,
provided the MEMBER does not qualify for a disability income
benefit in terms of the DISABILITY INCOME PLAN.
If a MEMBER has applied to retire as a result of the termination
of his employment for operational reasons prior to his NORMAL
RETIREMENT DATE, as certified by the EMPLOYER, provided
that the MEMBER is not more than ten years younger than the
NORMAL RETIREMENT AGE.
Notwithstanding the provisions of paragraphs (a), (b) and (c)
above, a MEMBER may elect instead of retiring in terms of this
Rule, to withdraw from the FUND in terms of Rule 9. The
MEMBER’S election must be in writing and is irrevocable.
68561/Revised Rules 2010/AL 55.

3. LATE RETIREMENT
If the MEMBER so wishes and the EMPLOYER is agreeable, the
MEMBER may retire on the first day of any month that is after his
NORMAL RETIREMENT DATE. Late retirement in terms of this Rule is
subject to the following:
(a)
(b)
(c)
an annual written agreement between the EMPLOYER and the
MEMBER on the extension of the retirement age,
the agreement may be renewed on an annual basis, but not
beyond the attainment of age 65,
contributions in terms of Rule 3 must continue to be payable by
and in respect of the MEMBER during continuous service beyond
the NORMAL RETIREMENT DATE.
7.2. AMOUNT OF RETIREMENT BENEFIT
A MEMBER’S retirement benefit is equal to the value of his ACCUMULATED
CREDIT at the time that his retirement benefit is dealt with in terms of
Rule 4.7.3. For the purposes of this Rule, ACCUMULATED CREDIT includes
BANK INTEREST from the date that the benefit is dis-invested until the date the
pension is purchased and/or the cash payment is made to the MEMBER.
7.3. OPTIONS AT RETIREMENT
1. Cash allowed on Retirement
Where a retirement benefit is payable in terms of Rule 7.2 a MEMBER
may elect to take in cash so much of his ACCUMULATED CREDIT as is
permitted in the Income Tax Act, 1962 (Act 58 of 1962).
2. Purchase of Pensions
The MEMBER’S pension must be purchased from one or more
INSURERS approved by the MANAGEMENT BOARD and chosen by
the MEMBER. It is expressly recorded that the FUND and the
MANAGEMENT BOARD accept no responsibility for such election. The
BENEFICIARY bears full responsibility for the choices made with regard
to the pension purchased and the INSURER selected.
68561/Revised Rules 2010/AL 56.

The pension so purchased constitutes a benefit payment from the FUND
and must:
(a)
(b)
(c)
(d)
be in the name of the MEMBER;
be compulsory, non-commutable and non-assignable;
be payable at least for the lifetime of the MEMBER;
be in full and final settlement of the benefit due and payable to
the MEMBER in terms of the Rules.
Once the pension is purchased, the liability of the FUND in respect of the
MEMBER is transferred to the INSURER and the FUND no longer has
any liability to the MEMBER or any person enjoying rights in succession
to such MEMBER.
3. Cessation of LIFE ASSURANCE BENEFIT
A MEMBER’S LIFE ASSURANCE BENEFIT will cease on the earlier of
(a)
(b)
NORMAL RETIREMENT DATE or
his retirement date.
A MEMBER may elect the option in terms of Rule 8.5., should the RISK
POLICY so provide.
7.4. DEATH OF A RETIRED MEMBER
Where a MEMBER has retired and dies
1. prior to the FUND having purchased a pension in accordance with
Rule 7.3.2, Rule 8.1.7. will be applicable; or
2. where the Income Tax Act, 1962 (Act 58 of 1962) permits the entire
retirement benefit to be commuted in full such benefit will be paid to the
MEMBER'S estate in cash.
68561/Revised Rules 2010/AL 57.

RULE 8 : DEATH BENEFITS
8.1. AMOUNT OF DEATH BENEFIT
If a MEMBER dies whilst in service, the MEMBER’S death benefit capital
calculated as at the MEMBER’S date of death will, subject to the provisions of
the ACT, be determined as follows:
EITHER:
1. A LIFE ASSURANCE BENEFIT APPLICABLE TO MEMBERS WHO
HAVE NOT SATISFIED APPROPRIATE MEDICAL REQUIREMENTS:
A person who has not satisfied APPROPRIATE MEDICAL
REQUIREMENTS will be covered for a LIFE ASSURANCE BENEFIT
based on an EMPLOYER contribution of a maximum of 2% of
PENSIONABLE EARNINGS.
The applicable LIFE ASSURANCE BENEFIT is equal to a multiple of
PENSIONABLE EARNINGS set out in Table A based on the MEMBER’S
age at the date of commencement of participation hereunder and
thereafter on his age on 1 January each year. On 1 July each year Table
A will be revised by the INSURER and advised to the FUND. The FUND
will, each year, advise each MEMBER of the amount of his LIFE
ASSURANCE BENEFIT.
TABLE A:
As at 1 July 2011, the table is as follows:
AGE
MULTIPLE OF PENSIONABLE
EARNINGS
Up to age 33 5.1
34 - 36 3.5
37 - 39 3.1
40 – 42 2.9
43 - 45 2.7
46 – 48 2.4
49 – 51 2.4
52 - 54 2.4
55 - 57 2.4
58 - 60 2.4
68561/Revised Rules 2010/AL 58.

Age 61 and older
Nil
Notwithstanding the provisions in the paragraphs above, a MEMBER
who dies as a result of an accidental death within three months of
becoming a MEMBER of the FUND, will be covered for the LIFE
ASSURANCE BENEFIT set out in terms of Table B below.
A MEMBER may elect voluntarily to be covered for the LIFE
ASSURANCE BENEFIT as defined in 8.1.2, by satisfying
APPROPRIATE MEDICAL REQUIREMENTS. Should a MEMBER
satisfy APPROPRIATE MEDICAL REQUIREMENTS, such member will
be covered for the LIFE ASSURANCE BENEFIT as defined in 8.1.2 from
the first day of the month following that in which the INSURER has
accepted such MEMBER’S medical evidence.
OR:
2. A LIFE ASSURANCE BENEFIT APPLICABLE TO MEMBERS WHO
HAVE SATISFIED APPROPRIATE MEDICAL REQUIREMENTS:
A person who has satisfied APPROPRIATE MEDICAL
REQUIREMENTS will be covered for a LIFE ASSURANCE BENEFIT
based on an EMPLOYER contribution of a maximum of 2% of
PENSIONABLE EARNINGS.
The applicable LIFE ASSURANCE BENEFIT is equal to a multiple of
PENSIONABLE EARNINGS set out in Table B based on the
MEMBER’S age at the date of commencement of participation
hereunder and thereafter on his age on 1 January each year. On 1 July
each year Table B will be revised by the INSURER and advised to the
FUND. The FUND will, each year, advise each MEMBER of the amount
of his LIFE ASSURANCE BENEFIT.
TABLE B
As at 1 July 2011, the table is as follows:
AGE
MULTIPLE OF PENSIONABLE
EARNINGS
Up to age 33 12.3
68561/Revised Rules 2010/AL 59.

34 – 36 10.6
37 – 39 9.4
40 – 42 8.3
43 – 45 7.2
46 – 48 6.2
49 – 51 5.0
52 – 54 3.9
55 – 57 3.0
58 – 60 2.4
61 and older Nil
PLUS:
3. The MEMBER'S ACCUMULATED CREDIT.
4. The LIFE ASSURANCE BENEFIT payable in terms of Rule 8.1.2. or
Rule 8.1.3. will always be subject to the provisions of the RISK POLICY.
5. In respect of a MEMBER who transferred from the Marriott Pension
Fund to the FUND on 1 January 2007, and for whom approval has been
granted by the MANAGEMENT BOARD, the LIFE ASSURANCE
BENEFIT shall be payable up to a maximum age as reflected in the
RISK POLICY.
6. The MANAGEMENT BOARD may at its discretion grant approval for the
LIFE ASSURANCE BENEFIT as per Table B above in the case of a
Section 197 transfer into the FUND, subject to the additional cost thereof
being covered by the EMPLOYER.
7. DEATH AFTER RETIREMENT
The benefit amount of a MEMBER referred to in Rule 7.4.1 is deemed to
accrue in terms of Rule 8.2.
8.2. PAYMENT OF DEATH BENEFIT
1. The MANAGEMENT BOARD may direct that all or part of the benefit
payable on death
68561/Revised Rules 2010/AL 60.

(i)
be paid in cash in such manner as directed by the
MANAGEMENT BOARD,
and/or
(ii)
be used to purchase a pension in terms of Rule 7.3.2. A major
DEPENDANT or major nominated beneficiary must consent, in
writing, to such purchase.
2. Payment of the death benefit is subject to the ACT, as well as any tax
and the requirements imposed by the South African Revenue Service
and the REGISTRAR.
8.3. CONDITIONS APPLICABLE TO PURCHASE OF ANNUITY
Any annuity purchased in terms of this Rule must be compulsory and nonassignable.
Any annuity required to be purchased with the proceeds of any death benefit in
terms of this Rule must be in the name of the SPOUSE, DEPENDANT CHILD,
DEPENDANT or nominated BENEFICIARY concerned.
Thereafter, the FUND will have no further liability in respect of the MEMBER'S
Estate, SPOUSE, DEPENDENT CHILD, DEPENDANT or nominated
BENEFICIARY concerned.
Such annuities will be payable for the lifetime of the MEMBER'S SPOUSE,
DEPENDANT or nominated BENEFICIARY or for the period during which there
will be DEPENDENT CHILDREN in the manner set out in Rule 8.2.1.
8.4. INSURANCE OF LIFE ASSURANCE BENEFIT AND LIMITATION OF FUND’S
LIABILITY
1. The LIFE ASSURANCE BENEFIT must be fully reinsured with an
INSURER.
2. The FUND’S liability to a MEMBER in respect of the LIFE ASSURANCE
BENEFIT will not exceed the amount or amounts payable in respect of
such benefits by the INSURER.
68561/Revised Rules 2010/AL 61.

8.5. CONVERSION OPTION
1. If the RISK POLICY so provides, a MEMBER may convert any portion of
his LIFE ASSURANCE BENEFIT that has ceased in terms of these
Rules, to an individual policy with the INSURER. Such individual policy
will be issued on such terms and conditions as the INSURER may
impose.
68561/Revised Rules 2010/AL 62.

RULE 9 : WITHDRAWAL BENEFITS
9.1. RIGHT TO AND AMOUNT OF WITHDRAWAL BENEFIT
If a MEMBER leaves the EMPLOYER'S service he will have the following
options:
1. CASH
The MEMBER may take his ACCUMULATED CREDIT in cash.
OR
2. PRESERVATION
The MEMBER may direct that his ACCUMULATED CREDIT be
transferred to an APPROVED PENSION FUND, APPROVED
PRESERVATION FUND, APPROVED PROVIDENT FUND and/or an
APPROVED RETIREMENT ANNUITY FUND.
OR
3. The MEMBER may receive part of his ACCUMULATED CREDIT in cash
and request the FUND to transfer the balance to an APPROVED
PENSION FUND, APPROVED PROVIDENT FUND and/or an
APPROVED RETIREMENT ANNUITY FUND.
Any option elected in terms of this Rule will be irrevocable.
Where a MEMBER has withdrawn and dies before payment of his benefit has
been made, the entire benefit will be paid to the MEMBER'S estate in cash.
9.2. CESSATION OF PARTICIPATION IN THE LIFE ASSURANCE BENEFIT
On a MEMBER’S withdrawal from service, his participation in the LIFE
ASSURANCE BENEFIT will cease. Should the RISK POLICY so provide, a
MEMBER will however be entitled to elect the option in terms of Rule 8.5.
68561/Revised Rules 2010/AL 63.

RULE 10: DISABILITY INCOME BENEFITS
If at any time prior to NORMAL RETIREMENT DATE a MEMBER becomes disabled,
as a result of accident, disease or illness, the following provisions will apply:
10.1. In the case of a MEMBER who is entitled to receive a disability income in
terms of the DISABILITY INCOME PLAN, the following will apply for as long
as such income remains payable:
1. subject to Rule 10.1.4. and Rule 10.1.5., the MEMBER will remain a
MEMBER of the FUND and be entitled to rights and benefits in terms
of the Rules;
2. contributions by and in respect of the MEMBER will continue;
3. the MEMBER'S PENSIONABLE EARNINGS will, for the purposes of
the Rules, be his PENSIONABLE EARNINGS at the end of the
required waiting period in terms of the DISABILITY INCOME PLAN,
subject to periodic increases as advised by the EMPLOYER to the
ADMINISTRATOR;
4. notwithstanding Rule 10.1.1., the MEMBER may, subject to the
agreement of the EMPLOYER, elect to retire early from the
EMPLOYER'S service on the first day of any month prior to the
attainment of age 55, provided that the MEMBER will be required to
retire, in terms of Rule 7 on the first day of the month next following
the attainment of age 55;
5. notwithstanding anything to the contrary in this Rule 10, the
MEMBER may at any time before the attainment of age 55, resign
from the EMPLOYER'S service and receive a withdrawal benefit in
terms of Rule 9. The MEMBER'S election must be in writing and is
irrevocable. The MEMBER'S withdrawal will be on such terms and
conditions as advised by the ADMINISTRATOR in writing to the
MEMBER.
10.2. If the MEMBER is not entitled to an income as envisaged in Rule 10.1. above,
the MEMBER may retire early in terms of Rule 7.1.2. as decided by the
MANAGEMENT BOARD.
68561/Revised Rules 2010/AL 64.

10.3. If the benefit payable to a MEMBER in terms of Rule 10.1. above for any
reason ceases to be payable in terms of the DISABILITY INCOME PLAN and
provided the MEMBER has not retired early in terms of Rule 10.1.4. or
withdrawn from the EMPLOYER'S service in terms of Rule 10.1.5. above, the
following will apply:
1. where the MEMBER does not return to the active service of the
EMPLOYER,
(a)
the retirement benefit, where such MEMBER is within a
reasonable period of retirement as determined by the
MANAGEMENT BOARD, or
(b) the withdrawal benefit in terms of Rule 9.1.,
as decided by the MANAGEMENT BOARD, will be payable,
or
2. where the MEMBER returns to the active service of the EMPLOYER,
membership of the FUND will continue based on his PENSIONABLE
EARNINGS as advised by the EMPLOYER to the ADMINISTRATOR.
68561/Revised Rules 2010/AL 65.

RULE 11 : GENERAL PROVISIONS
11.1. PROTECTION OF BENEFITS IN TERMS OF SECTION 37A OF THE ACT
Benefits or rights under the FUND are protected in terms of section 37A of the
ACT and may not be ceded, pledged or assigned and may also not be subject
to any form of attachment or execution.
If a BENEFICIARY commits an act of insolvency or attempts to alienate a
benefit or right to a benefit (unless permitted by Rule 11.3. and Rule 11.7.),
such benefit will, as determined by the MANAGEMENT BOARD, be withheld or
suspended. The benefit will thereafter become payable for the benefit of one or
more of the BENEFICIARY'S dependants on such basis and during such period
as the MANAGEMENT BOARD may determine.
11.2. COMPLAINTS PROCEDURE IN TERMS OF SECTION 30A OF THE ACT
A COMPLAINANT who has a complaint relating to
• the administration of the FUND, or
• the investment of the money of the FUND, or
• the interpretation and application of the Rules
may lodge a written complaint with the Principal Officer, the EMPLOYER or the
MANAGEMENT BOARD in terms of Section 30A of the ACT.
A complaint so lodged will be properly considered and replied to in writing within
30 days of receipt of such complaint.
If the COMPLAINANT is not satisfied with the reply received, or if the reply is
not received within 30 days of receipt of the complaint, the COMPLAINANT may
lodge the complaint with the ADJUDICATOR.
The ADJUDICATOR may, on good cause shown by any affected party, extend
the period of 30 days referred to above or condone non-compliance with the
time limit specified above.
The decision of the ADJUDICATOR shall be final and binding.
68561/Revised Rules 2010/AL 66.

The Adjudicator's jurisdiction does not extend to complaints in connection with a
surplus apportionment scheme which relate to the decisions taken by the
MANAGEMENT BOARD or any stakeholder or any specialist tribunal convened
in terms of section 15K of the SURPLUS ACT.
11.3. DEDUCTIONS ALLOWED IN TERMS OF SECTION 37D OF THE ACT
The following amounts may be deducted from any benefit which is payable in
terms of these Rules:
1. Any sum owing to the FUND or the EMPLOYER by a MEMBER in
respect of
(a)
(b)
a housing loan granted by the EMPLOYER to the MEMBER, or
an amount for which the FUND or the EMPLOYER is liable under
a guarantee furnished in respect of a loan granted by some other
person to the MEMBER
in respect of a residence occupied or to be occupied by the MEMBER or
a dependant or dependants of the MEMBER as provided in terms of
section 19(5) of the ACT.
2. Compensation (including legal costs recoverable from the MEMBER) in
respect of any loss suffered by the EMPLOYER as a result of any theft,
misconduct, fraud or dishonesty on the MEMBER'S part for which the
MEMBER has admitted liability in writing or in respect of which the
EMPLOYER has obtained a Court Judgment.
The MANAGEMENT BOARD may, where the EMPLOYER has instituted
legal proceedings in a court of law against the MEMBER concerned for
compensation in respect of damages caused to the EMPLOYER as
contemplated in terms of section 37D of the ACT, withhold payment of
the cash withdrawal benefit until such time as the matter has been finally
determined by a competent court of law or has been settled or formally
withdrawn, provided that
(a)
the amount withheld shall not exceed the amount that may be
deducted in terms of Section 37D(b)(ii) of the ACT;
68561/Revised Rules 2010/AL 67.

(b)
(c)
(d)
(e)
the MANAGEMENT BOARD in its reasonable discretion is
satisfied that the EMPLOYER has made out a prima facie case
against the MEMBER concerned and there is reason to believe
that the EMPLOYER has a reasonable chance of success in the
proceedings that have been instituted;
the MANAGEMENT BOARD is satisfied that the EMPLOYER is
not at any stage of proceedings responsible for any undue delay in
the prosecution of the proceedings;
once the proceedings have been determined, settled or withdrawn,
any benefit to which the MEMBER is entitled is paid forthwith; and
the MANAGEMENT BOARD, at the express written request of a
MEMBER whose benefit is withheld, may, if applicable and
practical, permit the value of the MEMBER’S benefit as at the time
of such request to be isolated, in whatever manner the
MANAGEMENT BOARD believes appropriate, from the possibility
of a decrease therein as a result of poor investment performance.
2. Any amount of income tax payable by law by the FUND in payment of
the MEMBER’S liability for that tax.
3. Any amount payable by the FUND to any person other than the
MEMBER in terms of a valid order issued by a competent court as
envisaged in Rule 11.7. Any process followed in terms of this Rule shall
be subject to Section 37D of the ACT.
4. For the purposes of this Rule the MEMBER will be deemed to have
elected his benefit in the form of a lump sum to the extent permitted in
terms of Income Tax legislation but not greater than the FUND'S or the
EMPLOYER'S claim.
11.4. PAYMENT OF BENEFITS
Benefits will be paid by means of an electronic funds transfer to the
BENEFICIARY'S bank account. The EMPLOYER or the BENEFICIARY must
furnish the details of the bank account to the ADMINISTRATOR.
68561/Revised Rules 2010/AL 68.

The EMPLOYER and/or the BENEFICIARY may however specifically request
that the benefit be paid by means of a cheque posted by registered mail to the
BENEFICIARY'S postal address as notified by the EMPLOYER and/or the
BENEFICIARY to the ADMINISTRATOR. In this event payment will be on such
terms and conditions as advised by the ADMINISTRATOR in writing to the
BENEFICIARY and the EMPLOYER.
11.5. PROOF OF AGE
A BENEFICIARY must provide satisfactory proof of age to the
ADMINISTRATOR before the payment of any benefit is to be made, unless the
ADMINISTRATOR specifies otherwise. If a BENEFICIARY does not comply
with this Rule, payment of benefits may be withheld until such information is
furnished. If the BENEFICIARY does not comply or if such information so
furnished is false or incorrect, the FUND is not liable for any loss sustained by
the BENEFICIARY as a result.
11.6. UNCLAIMED BENEFITS
1. The MANAGEMENT BOARD must take such steps, as it considers
appropriate, to trace the person entitled to an unpaid benefit, the costs of
which may be deducted from the benefit payable to the recipient.
2. Any benefit which is unpaid and which despite such steps is not paid out
within 6 months or such other period considered appropriate by the
MANAGEMENT BOARD or as determined from time to time by the
COMMISSIONER, must be transferred to the Unclaimed Benefits
Account. Any benefit credited to this Account must be retained in this
Account until it becomes payable in terms of Rule 11.6.4.
3. Amounts in the Unclaimed Benefits Account must be invested by the
MANAGEMENT BOARD in an INVESTMENT FUND designated for that
purpose or in an INVESTMENT FUND which preserves capital, as
determined by the MANAGEMENT BOARD. For the purposes of this
Rule, "an INVESTMENT FUND that preserves capital" means the
preservation of capital in nominal, and not real, terms.
4. A benefit shall only become payable from the Unclaimed Benefits
Account to a BENEFICIARY when the MANAGEMENT BOARD is
satisfied that a valid claim has been submitted and that any additional
68561/Revised Rules 2010/AL 69.

information required by the FUND has been provided. However, where
the benefit has remained unclaimed for at least twenty-four months, the
MANAGEMENT BOARD may arrange for it to be dealt with in terms of
Rule 4.4.(a)(ii) and be paid to any fund legally entitled to hold unclaimed
benefits in accordance with the provisions of the ACT and the
requirements of the COMMISSIONER. Thereafter the FUND shall have
no further liability in respect of the benefit and any subsequent claim
lodged by a MEMBER or any person alleging an entitlement to the
benefit shall be dealt with in terms of the rules of the fund into which the
benefit was deposited.
11.7. DISPOSITION OF BENEFITS IN TERMS OF COURT ORDERS
In the event of the FUND being furnished with a valid order made by any
competent court –
1. in terms of the Divorce Act, 1979, assigning any part of a MEMBER’S
interest in the FUND to his former spouse; or
2. in terms of the Maintenance Act, 1998, or any other legislation, ordering
payment of any part of a MEMBER’S interest in the FUND to any other
person,
the FUND must give effect to such an order.
11.8. ADJUSTMENT TO ACCOUNTS
1. The MANAGEMENT BOARD must review the balance in the accounts
described in Rule 4.1.2. at least once in each FINANCIAL YEAR and
must, after such review, apportion so much from each account which the
MANAGEMENT BOARD, in consultation with the ACTUARY, may
decide is surplus to the requirement of each such account amongst the
MEMBERS to whom such account relates in the proportion that the
balance standing to the credit of the MEMBER’S Accumulation Account
of each such MEMBER bears to the MEMBER’S Accumulation Account
of all the other such MEMBERS.
2. The MANAGEMENT BOARD has the power to invest any balance to the
credit of any account in one or more BANK ACCOUNTS or
INVESTMENT FUNDS, as it considers appropriate.
68561/Revised Rules 2010/AL 70.

11.9. TIME LIMIT TO EXERCISE OPTIONS
Options available to MEMBERS on leaving the FUND for any reason, must be
exercised within three months of the date of exit and are irrevocable.
11.10. MEMBER’S RIGHT TO DOCUMENTS
Subject to the payment of such fee as may be decided upon by the
MANAGEMENT BOARD from time to time, the MANAGEMENT BOARD must
deliver on request to a MEMBER a copy of the current Rules of the FUND and,
if applicable, the most recent Revenue Account and Balance Sheet of the
FUND.
Any MEMBER may inspect, without charge at the registered office of the FUND,
any or all of the following:
(a)
(b)
(c)
(d)
a copy of the Rules of the FUND;
the most recent Revenue Account and Balance Sheet prepared in terms
of Subsection (1) of Section 15 of the ACT (if any);
the last valuation report in terms of Section 16 of the ACT; and
any documentation relevant to a scheme being carried out by the FUND
in accordance with Section 18 of the ACT.
A MEMBER may make extracts from the above documents. Any costs arising
from the making of extracts must be paid by the MEMBER, unless the
MANAGEMENT BOARD decides otherwise.
11.11. COMMUNICATION TO THE FUND TO BE IN WRITING
Any notice, request, instruction or other communication given by any person in
terms of the Rules to the FUND must, unless otherwise specified, be in writing
and together with complete and correct documentation, where applicable. Any
person giving such notice, request, instruction or other communication bears the
onus of proof that it was received by the FUND.
11.12. NOTIFICATION AND INFORMATION
1. The EMPLOYER must provide the FUND with all EXIT
NOTIFICATIONS.
68561/Revised Rules 2010/AL 71.

2. The EMPLOYER is further obliged to provide the FUND with such
information required in respect of contributions, the LIFE ASSURANCE
BENEFITS and any other information as required from time to time.
3. The FUND is entitled to rely on any information or communication
received from the EMPLOYER in respect of a MEMBER in its service
including, without limiting the generality of the aforegoing:
(a)
(b)
if such communication reflects any election made by a MEMBER
or BENEFICIARY entitled to make any such election under these
Rules, or
information relating to the MEMBER, in particular his
PENSIONABLE SALARY or age.
4. No MEMBER, BENEFICIARY or person enjoying rights in succession to
any MEMBER or BENEFICIARY has any claim against the FUND in
respect of any loss which may arise as a result of the reliance by the
FUND on any information or communication conveyed to it by the
EMPLOYER.
5. The provisions of Rules 11.12.3 and 11.12.4 do not apply if the
information or communication is conveyed directly to the FUND by the
MEMBER or BENEFICIARY or if the MEMBER or BENEFICIARY
notifies the FUND that Rule 11.12.3 is not to apply to him. If the
information provided by the MEMBER differs from that previously
provided by the EMPLOYER, the MEMBER bears the onus of proof that
such later information was received by the FUND.
11.13. AUDIT STATUS OF THE FUND
The FUND will in accordance with the ACT be subject to audit in respect of
each FINANCIAL YEAR.
11.14. RULES ARE NOT CONDITIONS OF SERVICE
These Rules are not conditions of service. They do not govern the rights of
employees of the EMPLOYER and the rights of the EMPLOYER in regard to the
employment of employees.
68561/Revised Rules 2010/AL 72.

11.15. GREATER BENEFITS
The MANAGEMENT BOARD may, at the request of the EMPLOYER, increase
any benefit payable to or in respect of any MEMBER as provided for elsewhere
in these Rules, subject to the following:
1. prior approval by the COMMISSIONER is required where the difference
(as determined by the ACTUARY) between the value of the greater
benefit and the value of the benefit provided for elsewhere in these
Rules is more than a percentage prescribed by the COMMISSIONER;
and
2. before the greater benefit can be paid, the EMPLOYER must pay to the
FUND the difference (as determined by the ACTUARY if not obvious)
between the value of the greater benefit and the value of the benefit
provided for elsewhere in these Rules.
11.16. TRANSFERS TO PRESERVATION FUNDS
1. A MEMBER’S benefits under these Rules may not be transferred to an
APPROVED PRESERVATION FUND in respect of a MEMBER, unless:
(a)
(b)
no transfer is made to another APPROVED PRESERVATION
FUND in respect of the MEMBER; and
the amount transferred equals the MEMBER’S full withdrawal
benefit in terms of Rule 9 or full liquidation benefit in terms of
Rule 5, less:
(i)
any transfer to an APPROVED RETIREMENT ANNUITY
FUND for the benefit of the MEMBER; and
(ii) any deduction in terms of Rule 11.3.
2. The FUND must inform the transferee APPROVED PRESERVATION
FUND of:
(a) any deduction in terms of Rule 11.3;
68561/Revised Rules 2010/AL 73.

(b)
(c)
any amount debited to the MEMBER’S Accumulation Account, or
deducted from an amount, the remainder of which was credited
to the MEMBER’S Accumulation Account, in recoupment of the
amount paid by the FUND on the MEMBER’S residential loan;
and
any payment made to, or on behalf of, the MEMBER’S former
spouse or another person in terms of a court order, where the
amount of such payment was debited to, or deducted from an
amount, the remainder of which was credited to the MEMBER’S
Accumulation Account.
68561/Revised Rules 2010/AL 74.

RULE 12 : DEFINITIONS
In these rules
- the defined words and expressions listed in Rule 12 are indicated by capital
letters throughout;
- if a word appears in the singular, it must be read to include the plural; and
likewise, if a word appears in the plural, it must be read to include the singular;
- if a pronoun or word refers to a gender it must be read to include the other
gender;
- All the terms defined in the ACT which are not defined in the rules, will bear the
same meanings as are ascribed to them in the ACT.
- if reference is made to any statutory provision that has been repealed, the
reference will be construed as a reference to the statutory provision, which
substituted the provision referred to (if any).
12.1. ACCUMULATED CREDIT means the amount calculated in terms of Rule
4.5.1.
12.2. ACT means the Pension Funds Act, 1956, as amended and the regulations
and any board notice published under the Act, or, if repealed, the substituting
Act of Parliament and any regulations regulating pension funds in South
Africa.
12.3. ACTUARY means an actuary appointed from time to time by the
MANAGEMENT BOARD and who has been approved as a valuator by the
REGISTRAR.
12.4. ADJUDICATOR means the Pension Funds Adjudicator or Deputy Pension
Funds Adjudicator and any acting Pension Funds Adjudicator appointed under
the ACT.
12.5. ADMINISTRATOR means the organisation appointed by the MANAGEMENT
BOARD to administer the FUND and whose appointment has been approved
by the REGISTRAR.
12.6. APPOINTED BOARD MEMBERS means members of the MANAGEMENT
BOARD appointed by the EMPLOYER.
68561/Revised Rules 2010/AL 75.

12.6(i)
APPROPRIATE MEDICAL REQUIREMENTS means:
(a) in respect of a person who became a MEMBER before 1 April 2002,
to have been covered for the life assurance benefit immediately
before 1 April 2002, and
(b)
in respect of a person who became a MEMBER on or after 1 April
2002, to have submitted medical evidence of good health and
insurability to the satisfaction of the INSURER.
12.7. APPROVED PENSION FUND means a fund approved as such by the
COMMISSIONER.
12.8. APPROVED PRESERVATION FUND means a fund approved as such by the
COMMISSIONER but excludes a PRESERVATION FUND approved as a
provident fund by the COMMISSIONER.
12.9. APPROVED PROVIDENT FUND means a fund approved as such by the
COMMISSIONER.
12.10. APPROVED RETIREMENT ANNUITY FUND means a Fund approved as
such by the COMMISSIONER.
12.11. ASSET MANAGER means a person or company registered as an asset
manager or INSURER with the Financial Services Board, appointed by the
MANAGEMENT BOARD under a written mandate to invest and administer
any assets of the FUND in an INVESTMENT FUND. Where the INVESTMENT
FUND is a collective investment scheme or a POLICY OF INSURANCE, the
mandate may be determined by the asset manager rather than the
MANAGEMENT BOARD, provided the key features of that mandate are
provided to the FUND in such a way that a MEMBER or EMPLOYER may
make an informed decision as to whether to participate in the INVESTMENT
FUND.
12.12. ASSOCIATE means such institution or institutions as the PRINCIPAL
EMPLOYER may, from time to time deem to be associated, allied or
subsidiary to the PRINCIPAL EMPLOYER for the purposes of these Rules.
68561/Revised Rules 2010/AL 76.

12.13. AUDITOR means an auditor engaged in public practice and registered under
the Auditing Professions Act, 2005, appointed by the MANAGEMENT BOARD
as the auditor of the FUND and whose appointment has been approved by the
REGISTRAR.
12.14. BANK ACCOUNT means an account in the name of the FUND with a bank as
defined in the Banks Act, 1990, or a mutual bank as defined in the Mutual
Banks Act, 1993.
12.15. BANK INTEREST means interest at the same rate applicable to the BANK
ACCOUNT from time to time unless otherwise recommended to the
MANAGEMENT BOARD.
12.16. BENEFICIARY means any person (including a MEMBER) who is or becomes
entitled to the payment of a benefit in terms of these Rules.
12.17. BOARD MEMBER means a person who is a member of the MANAGEMENT
BOARD.
12.18. COMMISSIONER means the Commissioner for the South African Revenue
Service.
12.19. COMPLAINANT means a complainant as defined in the ACT.
12.20. CODE OF GOOD CONDUCT means the code of conduct adopted by the
MANAGEMENT BOARD of the FUND in terms of Rule 2.19.
12.21. CORE LIFE COVER means:
(a)
(b)
for MEMBER'S up to age 61, an amount equal to 2,4 times the
MEMBER'S PENSIONABLE EARNINGS;
for MEMBER'S aged 61 and older, it will be nil.
12.22. DATE OF COMMENCEMENT OF THE FUND means 1 September 1996.
12.23. DATE OF REALISATION means the date on which the sale price of UNITS is
fixed in terms of an instruction to dispose of those UNITS.
12.24. DEPENDANT means a dependant as defined in the ACT.
68561/Revised Rules 2010/AL 77.

12.25. DEPENDENT CHILD means a child, legally adopted child or stepchild of a
married MEMBER, provided such child is unmarried, is under the age of 18
years and is dependent upon the MEMBER at the time of the MEMBER'S
death and will include a child whom the MANAGEMENT BOARD considers
would have been dependent on the MEMBER had the MEMBER not died.
Where the MANAGEMENT BOARD so directs, the age limit of 18 years may
be extended. The MANAGEMENT BOARD may also direct that any other
child be included.
12.26. DISABILITY INCOME PLAN means a separate group disability income
arrangement in which the EMPLOYER participates for the benefit of its
employees. The benefit payable under the DISABILITY INCOME PLAN is not
a benefit of the FUND.
12.27. ELECTED BOARD MEMBERS means MANAGEMENT BOARD members
elected in terms of Rule 2.4.
12.28. ELIGIBLE EMPLOYEE means a person on the full-time permanent staff of the
EMPLOYER, including
(a)
a full-time working director, who is under age 61 as at the date of
commencement of such service, and
(b) a person who was in the EMPLOYER’S service immediately prior to 1
November 1997, who was not working full-time, and who elected to
participate in the FUND in terms of a once-off option extended by the
EMPLOYER to such person on 1 November 1997.
(c)
a person, excluding a FIELD STAFF MEMBER, who works reduced
hours and who will for purposes of this Rule 12.27. be regarded as on
the full-time permanent staff of the EMPLOYER if that person is so
regarded by the PARTICIPATING EMPLOYER concerned in terms of its
staff policies.
For the purposes of this definition, an employee who is in receipt of a benefit
under the DISABILITY INCOME PLAN shall be deemed to be in full-time
permanent employment with the EMPLOYER.
12.29. EMPLOYER means the PARTICIPATING EMPLOYER in whose service the
MEMBER last was.
68561/Revised Rules 2010/AL 78.

12.30. ENHANCEMENT AMOUNT means, in respect of a MEMBER who transferred
from the PREVIOUS FUND on 1 January 1997 or 1 August 1999, the
MEMBER’S share of the surplus in the PREVIOUS FUND as determined by
the actuary of the PREVIOUS FUND.
12.31. EXIT NOTIFICATION means notification by the EMPLOYER to the
ADMINISTRATOR, either in writing or electronically, when a MEMBER retires,
dies, withdraws from service or is retrenched.
12.32. FIELD STAFF MEMBER means a MEMBER designated as such by the
EMPLOYER.
12.33. FINANCIAL YEAR means a period of twelve months commencing 1 July and
ending 30 June each year.
12.34. FINANCIAL YEAR END means 30 June.
12.35. FUND means Old Mutual Staff Retirement Fund.
12.36. INSURER(S) means an insurer registered in terms of the Long-term Insurance
Act, 1998.
12.37. INVESTMENT CONDITIONS means the terms and conditions agreed
between the FUND and the ASSET MANAGER in respect of an
INVESTMENT FUND.
12.38. INVESTMENT FUND means an investment product of an ASSET MANAGER
chosen by the MANAGEMENT BOARD.
12.39. LIFE ASSURANCE BENEFIT means a multiple of PENSIONABLE
EARNINGS determined in terms of Rule 8.1.
12.40. MANAGEMENT BOARD means the management board as appointed in
terms of Rule 2.
12.41. MEMBER means an ELIGIBLE EMPLOYEE who participates in the FUND.
12.42. NORMAL RETIREMENT AGE means age 61, or such age as specified in the
MEMBER’S employment contract and/or conditions of service.
68561/Revised Rules 2010/AL 79.

12.43. NORMAL RETIREMENT DATE means midnight on the last day of the month
during which the MEMBER attains the NORMAL RETIREMENT AGE; if a
MEMBER retires on his normal retirement date, he will be deemed to be on
retirement with effect from the first day of the succeeding month.
12.44. NORMAL RETIREMENT DATE means the first day of the month next
following attainment of the NORMAL RETIREMENT AGE.
12.45. PARTICIPATING EMPLOYER means:
(a)
(b)
the PRINCIPAL EMPLOYER;
the employers listed below, namely:
(i)
Old Mutual Investment Group Property Investments (Pty) Ltd;
(ii) Old Mutual Investment Group (South Africa) (Pty) Ltd;
(iii) Old Mutual Specialised Finance (Pty) (Ltd);
(iv) Global Edge Technologies (Pty) Ltd;
(v) Old Mutual International (Pty) Ltd;
(vi) Old Mutual Finance (Pty) Ltd; and
(c)
any other employer, who is an ASSOCIATE of the PRINCIPAL
EMPLOYER , who has been admitted by the MANAGEMENT BOARD
as a participating employer and whose participation has not been
terminated.
The participation of a PARTICIPATING EMPLOYER in the FUND may be
terminated by the MANAGEMENT BOARD with effect from such date as may
be determined by resolution of the MANAGEMENT BOARD.
12.46. PENSIONABLE EARNINGS means –
(a)
in the case of a FIELD STAFF MEMBER, the basic salary, wage or
commission earnings per annum including such other amounts, as the
EMPLOYER may regard as being PENSIONABLE EARNINGS as
advised to the ADMINISTRATOR in writing from time to time; or
68561/Revised Rules 2010/AL 80.

(b)
(c)
in the case of a MEMBER other than in Rule 12.45.(a), the amount
equal to the portion of the MEMBER'S annual remuneration package
as advised as being pensionable by the EMPLOYER to the
ADMINISTRATOR in writing from time to time; and
for purposes of calculating the LIFE ASSURANCE BENEFIT for
MEMBERS, the amount as advised by the EMPLOYER to the
INSURER in writing from time to time.
Changes in PENSIONABLE EARNINGS and corresponding changes in
contributions will become effective from the actual date of such change.
12.47. PENSIONABLE SERVICE means the period of service for which contributions
are made under the FUND by and/or in respect of a MEMBER, including any
past period for which the MEMBER made additional voluntary contributions or
transferred amounts into the FUND, in terms of Rule 3.3.
12.48. PENSIONABLE SHORT-TERM INCENTIVE means that portion of Rule
12.45.(a) or Rule 12.45.(b), as identified by the EMPLOYER.
12.49. PENSIONER means a retired member of the PREVIOUS FUND who is in
receipt of a pension as at 1 January 1997 or 1 August 1999, and who has,
with effect from 1 January 1997 or 1 August 1999, elected to transfer to the
FUND, and will include the spouses and children of deceased members and
pensioners of the PREVIOUS FUND.
12.50. POLICY OF INSURANCE means a policy of insurance issued by an
INSURER.
12.51. PREVIOUS FUND means Old Mutual Staff Pension, Spouses’ and Provident
Funds.
12.52. PRINCIPAL EMPLOYER means Old Mutual Life Assurance Company (South
Africa) Limited.
12.53. REGISTRAR means the Registrar of Pension Funds.
12.54. RISK POLICY means a POLICY OF INSURANCE issued by an INSURER to
the FUND in terms of Rule 8.4.
68561/Revised Rules 2010/AL 81.

12.55. SPOUSE means the spouse of a legally married MEMBER at the time of his
death; where according to customary practice the MEMBER has more than
one wife, the spouse will be designated by the MANAGEMENT BOARD. The
MANAGEMENT BOARD may deem a person who cohabits with or is
dependent on a MEMBER, to be a spouse for the purposes of these Rules.
12.56. SURPLUS ACT means the Pension Funds Second Amendment Act, 2001
and the regulations framed thereunder.
12.57. SWITCHING means the realisation of UNITS in an INVESTMENT FUND and
the investment of the proceeds in UNITS in another INVESTMENT FUND or
INVESTMENT FUNDS.
12.58. TRANSFER AMOUNT means, in respect of a MEMBER who transferred from
the PREVIOUS FUND on 1 January 1997 or 1 August 1999, the value, as
determined by the actuary of the PREVIOUS FUND, of any retirement benefits
accrued to the MEMBER in terms of the Rules of the PREVIOUS FUND in
force immediately prior to the date the MEMBER commences to participate
hereunder plus the ENHANCEMENT AMOUNT.
12.59. UNCLAIMED BENEFIT means an unclaimed benefit as defined in the ACT.
12.60. UNIT means a unit of investment:
(a)
(b)
which can be purchased in or notionally attributed to an INVESTMENT
FUND which is a UNITISED INVESTMENT on the basis set out in Rule,
and
the value of which, if not in the form of a POLICY OF INSURANCE,
includes at any date any realised and unrealised gains and losses and
any accumulated, capitalised or attributable income of whatever nature
and has been reduced by any charges which the ASSET MANAGER is
empowered to deduct from the value in terms of its contractual
arrangement with the FUND.
12.61. UNITISED INVESTMENTS means an INVESTMENT FUND where the ASSET
MANAGER allocates UNITS and a UNIT price from time to time for the
INVESTMENT FUND.
68561/Revised Rules 2010/AL 82.