RETIREMENT BENEFITS ADVISORY
Retirement Benefits Advisory Limited
Heritage House,
Plot 636A, Sultan Abubakar Way,
Wuse, Zone 3, Abuja+234 92 912 242 [email protected] | www.rba.com.ng |
RETIREMENT SOLUTION ADVISORY RISK & ACTUARIAL ANALYTICSLEARNING ACADEMY
Towards Impactful Growth
Supporting pillar of the Nigerian Pension Industry
The Nigerian Pension Industry
The Supporting Pillar of the Nigerian Pension Industry
RETIREMENT SOLUTION ADVISORY RISK & ACTUARIAL ANALYTICSLEARNING ACADEMY
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The Supporting Pillar of the Nigerian Pension Industry
Dr. Musa IbrahimManaging PartnerRetirement Benefits Advisory LTD
Navigating impactful growth in the pension industry is a challenge.
Regulators, operators and governments are constantly challenged to make
informed decisions which will meet contributor expectations. To this end,
the Regulator introduced initiatives and developments to deal with the real
returns on investments, safety of pension assets and compliance with
relevant laws, regulations and best practices including IFRS.
However, for this growth to be impactful while achieving the objectives of
the CPS, industry stakeholders will need to re-align their activities to realize
inherent investment, economic and social opportunities.
Industry operators will seek to understand and benchmark their operations
and governance in tandem with regulatory requirements in the process of
identifying organizational shortcomings for the purposes of optimizing
their operations.
RBA is well positioned with the skills and the team to bring forward
innovative strategies which will address the needs of pension operators
and plan sponsors. Our team of consultants combine deep technical
pensions experience with a breadth of economic, financial and
supervisory/regulatory expertise. We have extensive industry knowledge
through the various roles we play as trusted advisors on plan design,
strategy development, actuarial valuations, enterprise risk management
and data analytics.
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The Supporting Pillar of the Nigerian Pension Industry
Investment Perspective
The Nigeria pension system has consistently improved since inception
transcending the N8 Trillion mark in pension funds and assets. The industry has
generated an appreciable pool of long-term funds mostly invested in short term
investment instruments without concomitant investment in long-term
instruments.
Regulatory initiatives targeted towards increasing the available instruments for
the investment of pension funds and assets introduced new allowable securities -
Sukuk and mortgage bonds. Still the shallow nature of the Financial Market is yet
to take full advantage of the long term nature of the Funds.
There will be need to not just expand spectrum of investible instruments, but to
also harmonize regulatory policies in the financial landscape to guide the full
integration of the pension industry to derive value for all concerned stakeholders
The Retirement Savings Accounts has recorded consistent growth averaging
7.57% YoY over the past 5 years. However, coverage of the CPS is yet to improve
with a substantial part of the semi-formal and informal sector, constituting over
60% of Nigeria’s working population and contributing about 40% of the Nation’s
GDP, unincluded. The Micro-Pension about to be introduced by the regulator will
serve to improve pension coverage in Nigeria by attending to these underserved
segment. The successful implementation of this scheme will require strategic
engagement to justify the benefits as a more viable alternative to traditional
means of savings. In addition, it would serve as an incentive to attract this
segment of the workforce to CPS.
The integration of this segment of the population will ensure an increased
contribution, guaranteeing a sure source of low interest long-term funds for
economic development.
Social Perspective
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Navigating Growth in the CPS
The Supporting Pillar of the Nigerian Pension Industry
Economic Perspective
The World Economic Forum (WEF) Global Competitiveness Index ranked Nigeria’s
infrastructure low. The infrastructure deficit is one of the biggest constraints to
doing business in Nigeria gravely impacting economic development. Traditionally,
infrastructural development has been the preserve of government and municipal
authorities, in recent times it has evolved into an asset class in its own right for
private sector investments most notably pension funds owing to its long-term
nature.
Leveraging the increasing pension funds and assets in infrastructural
developments will serve 2 major purposes:
• Economic development which will alleviate poverty and position
Nigeria competitively regionally and globally.
• Visibility and impact of pension fund sponsored infrastructural
development enhancing pension coverage especially with a view to
capturing the informal sector.
Recent initiative in the updating of the pensioner and contributor’s data by fund
operators brings into focus the safety and protection of pension data. Nigeria has
until recently been unresponsive to the global move on indexing and
consolidating of its citizen’s data from various sources into a concise and
formalized structure. However, with the recent move in instituting Bank
Verification Number (BVN), National Identity Number (NIN) and Pension
Identification Number (PIN), a consolidated data base of a percentage of Nigerian
workforce is in the horizon.
The issues of data integrity, security and protection is crucial, especially in the
pension industry where the future of the nation’s potential economic
development fund and social improvement rests. While there is in the legislative
house, a Bill currently being sponsored on the implementation of a Data
Protection Law for Nigeria, there is an imperative for pension industry to
institutionalize an extensive framework to ensure the protection of contributor
information.
Contributor Information & Data Protection
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The Supporting Pillar of the Nigerian Pension Industry
We work with clients to help identify issues and solve problems using a
systematic and creative approach. Our involvement varies with the nature
of the situation and the request of the client. In particular, the assignment
may range from ad hoc advice on a particular problem or issue, to the
design of comprehensive systems for the client as well as the evaluation
and revision of existing systems.
RBA offers her experience, resources and service commitment to provide a
solutions-based approach that fully aligns with the best interests of our
clients through strategic partnerships with various service providers and
many years of practical and consulting experience in the following areas:
?Consulting on Regulatory and Supervisory Issues
?Training & Manpower Development
?Market Analysis
?Structure and Processes Review/Design
?Actuarial and Risk management Services
?Communication Campaign Initiatives –Design and Delivery
OUR SERVICES
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The Supporting Pillar of the Nigerian Pension Industry
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The Supporting Pillar of the Nigerian Pension Industry
RBA Advisory is strategically situated to provide the expertise and guidance
to help industry players navigate the various organizational/operational
issues associated with the growth to improve profitability and productivity.
Our competencies lie in our ability to assist organizations maximize
revenue, generate growth and develop sustainable competitive edge
through our industrialized solutions. We are positioned as the choice
partners of growth in the Nigerian Pension Industry.
ADVISORY
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The Supporting Pillar of the Nigerian Pension Industry
?Corporate Strategy and Implementation
We provide strategy development and implementation guide services to
organizations in the pension industry who are striving to put their organizational
direction into a concise and executable short, medium- and long-term plans.
?Retreats - Management and Board
We provide highly responsive methods in organizing retreats that focus on areas
that vary from vision/mission development and review, strategic goal setting to
performance management and skills/knowledge improvement. Our Strategic
management retreat is designed to provide opportunities for Board and
management to review their organization’s performance and trends and
strategize on modalities for improvement.
?Corporate Performance Managements
As an authority in the Nigerian Pensions Industry, we provide business
methodologies that can track and measure the performance of an organization.
We work out the best way to tactically monitor and manage the Key Performance
Indicators with the aid of our business intelligence.
?Business Simulation
We use our simulation expertise to build simulations, conduct results analysis and
get insight to overcome your business challenges. Our consultants are not only
RBA esperts, they are specialists in process improvements and operations
research, ensuring that you achieve maximum value from any project.
?Organizational Change management
We provide a framework for managing the effect of new business processes,
changes in organization structure or culture changes within an organization.
Knowing that shifting a culture requires a delicate systematic and well-planned
approach, we help guide organizations through the necessary transition ensuring
readiness for change.
?Human Resource Management
We partner with organizations in the Pensions Industry to develop a talent
strategy roadmap by using business modelling and industry insight to optimize
effectiveness in the area of talent management. By applying workforce &
analytics, we help every organization set a unique employment assistance
program based on their culture and needs.
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The Supporting Pillar of the Nigerian Pension Industry
Our capabilities at aglance
Trainingneeds
Analysis
ACADEMY
RBA Academy is committed to supporting the sustainable growth of the
Pension Industry by offering a variety of training courses to enrich industry
competencies, skills and capacity. We align our courses to meet the
evolving pension landscape and needs of modern businesses; this way we
make sure that we are providing the very best training programs for our
clients, our Participants and their sponsors.
Skillsadequacy
Assessment
Induction for NewEntrants
ManagementTraining
Boardtraining
andInduction
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The Supporting Pillar of the Nigerian Pension Industry
EXECUTIVE COURSES
Our programs also provide Managerial and Executive personnel with
strategic analysis and development courses in a calm and serene
environment overseas, conducive for optimum analytic reasoning and
learning, leaving them with the skill and confidence to leading
their organizations to be the top players in the industry.
OPEN TRAININGS
Our open courses promote
an open learning environment
where cross-functional
departments are represented
from various organization
and professional levels.
INPLANT TRAININGS
As an implant, RBA’s training
program is designed to
effectively and economically
meet the specific need of your
organization.
OUR TRAININGS
Trainings on Pension &
Management Courses
Induction for new Employees
Training/Induction for Directors
Pre-retirement workshops
and Seminars
Risk Management training
Core Custody Courses
Management Courses
LEARNING APPROACH
Facilitator-led presentations
Exercises
Case Studies
Syndicate group discussions
Visual presentations
Individual action plans
(to follow-up and evaluate
training results)
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The Supporting Pillar of the Nigerian Pension Industry
The survival, continued growth and profitability of individual operators and
industry has become dependent on approaching pension business from an
integrated risk perspective. Hence, forward looking operators will
constantly need to test the risk preparedness of their business by making
the right investment in their people and processes to develop their risk
response capability.
RBA addresses risk in the Pension Industry with the following capabilities.
RISK MANAGEMENT
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The Supporting Pillar of the Nigerian Pension Industry
Enterprise Risk Management (ERM):
Risk Appetite Framework:
Governance, Risk and Compliance (GRC):
Financial Risk Management (FRM):
Risks interconnected in nature, posing
threats in different organizational units. Operators will require a holistic approach
that integrates risk management in the enterprise system and culture. RBA’s risk
consultants will works with organizations to develop an enterprise-wide risk
readiness.
With the constantly evolving landscape, operators
need to understand the amount of risk to take-on in the pursuit of their corporate
objectives. RBA works with the Board and Senior management to ensure that the
key risks affecting their corporate objectives are considered in their strategic
planning sessions by developing and implementing a risk appetite framework
that:
?supports, reinforces and meets strategic targets
?generates efficiencies and improved cost management
?strengthens the risk culture
Operators will constantly need to
overcome the challenge of regulatory compliance, managing stakeholder
expectations and protecting their brand. Our consultants will work with them to
implement a GRC solution to build their capability to reliably achieve objectives,
address uncertainty and act with integrity. The GRC approach will ensure that
?the right people get the right information at the right times;
?that the right objectives are established;
?and that the right actions and controls are put in place.
Volatility in interest rates, currency markets
and equities expose fund portfolios. Strategic fund management and effective
decision making are crucial to achieve better business outcomes and increase
value for contributors in the the multi-fund structure. RBA consultants will work
with fund managers to develop risk optimization strategies that address a variety
of financial risks to pension funds while delivering better returns on assets.
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The Supporting Pillar of the Nigerian Pension Industry
Today’s business of retirement benefits - pension, gratuity, provident fund,
workers’ compensation, annuity and other post retirement benefits
(medical etc) all require complex risk management. Our objective is to
provide you with practical advice and solutions to complex risk problems on
all aspects of retirement benefits. We offer a wide range of ATUARIAL
SERVICES to individuals and firms that need to evaluate, quantify and
manage retirement benefits risks in pension, insurance and workers’
compensation.
ACTUARIAL
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The Supporting Pillar of the Nigerian Pension Industry
RBA can be engaged as an “Appointed Actuary”, as a co-actuary to work
with an existing actuarial firm to provide expertise in regulatory
compliance, or simply to be engaged to assist in the preparation of
working/supporting documents or providing opinion & recommendation
on Assumptions for your actuary.
RBA actuarial services provides solutions to pension & allied industry and
insurance that includes the following;
Pension Life Insurance and Annuity
Plan design, Evaluation andRe-Design
Claims Analysis Determination andValuation
Opinion and Recommendationson Assumptions
Valuation and FinancialAnalysis
Compliance Solutions
Annuity Pricing (Fixed, Equity Indexed, Variable, Immediate, Structured Settlements)
Valuation and FinancialReporting
Self Insurance
Principal Based Capital andReserves
Rate Making
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The Supporting Pillar of the Nigerian Pension Industry
ANALYTICS
Information, insights and foresights impact every aspect of business.
Operators in the industry will need to understand contributor behavior
patterns especially in the informal and semi-formal sector meet their needs
and enhance long-term customer relationships.
RBA analytics services provide the tools that move your organization
beyond business intelligence (BI). Anticipate future trends, improve
decision-making and take your business to the next level.
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The Supporting Pillar of the Nigerian Pension Industry
RBA Analytics
Predictive Analytics
Benchmarking Services
Marketing Analytics
Business Intelligence
[BI] Development
Our custom data and analytics solutions prepare your organization for the
future and the changing competitive landscape while simplifying complex
information about your business operations.
RBA Advantage
With proven delivery methodologies, we help you :
• Drive growth through:
• Deeper customer insights
• Product/service innovation
• Enhance cost management through
• Optimized operations
• Better financial performance analysis
• Improve risk management through
• Enhanced regulatory compliance
• Internal risk and control
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The Supporting Pillar of the Nigerian Pension Industry
Our Engagement Methodology
We provide a responsive service through a 3-phase process of situational
assessment/diagnosis, underpinned by a highly interactive assessment
framework in areas of focus. This serves as a basis for proffering apposite
recommendations and an implementation plan specifically suited to our
client’s unique situation.
ENGAGEMENT METHODOLOGY
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Assess /Diagnose
Recommend
Implement
The Supporting Pillar of the Nigerian Pension Industry
Our Core Values:
• Excellence:
• Empathy:
• Efficiency:
• Innovation:
we are committed to upholding the highest standards,
professional responsibility, accountability and integrity
we are committed to identifying with our client needs and
ideas to deliver on mutually beneficial services
we deliver solutions and services that are time and cost
efficient for our clients
we value and encourage innovation, creativity and
commitment in achieving and sustaining our goals through continuous
improvement.
Vision, Mission, Values
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The Supporting Pillar of the Nigerian Pension Industry
Abuja School of Pension & Retirement Planning
Passion & Purpose
Transforming Retirement
Retirement Planning BrochureAPS
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The Supporting Pillar of the Nigerian Pension Industry
RETIREMENT SOLUTIONS
Plan DesignRetirement
Planning
ModularRetirement Planning
Program
Entrepreneurship Workshop Life in Retirement
RBA Retirement Solutions provides specialized services in plan design,
retirement Planning, and pre-retirement training. We provide these
services through our subsidiary Abuja School of Pension and Retirement
Planning.
The APS Retirement Planning Program employs a four-pronged approach
that covers:
?Plan Design;
?Retirement Planning sessions;
?Entrepreneurship Development workshops;
?Refresher practicums on Life-In-Retirement.
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The Supporting Pillar of the Nigerian Pension Industry
SOME OF OUR CLIENT ENGAGEMENTS
Client Situation
State Pension Board needed to evaluate the fund performance oftheir CPS to ensure the sustainability of their fund to meetobligations of their future retirees
Client required advisory services to set- up their operationalstructure towards obtaining their final license.
Client needed to ensure that employees are kept abreast of the rapidly evolving industry landscape.
Client needed to know its customer satisfaction index as well as industry trends and outlook
Operator needed to ensure that the risks their operations are exposed to are profiled and the management of risk is embedded in their business processes.
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The Supporting Pillar of the Nigerian Pension Industry
RBA Advisory services guided the client using our proprietarymethodology to ensure the licensing, operational roll-out andsustained growth of the organization. Our engagement has helpedthe operator to increase its market position within a short tomedium term.
RBA Academy carried out a detailed need analysis to close theknowledge gap and align productivity to the current context ofcomplex industry situation
RBA analytics carried out a customer survey that delivered insightson areas of improvement on clients services and businessoperations
RBA Risk Management Solution reviewed the client existing riskmanagement framework to determine their risk maturity leveland developed a new risk management framework that improvedthe risk culture, risk assessment and reporting.
RBA Solution
RBA Actuarial services provided actuarial valuation of the fundand assessed the pension fund performance over a period of time.
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The Supporting Pillar of the Nigerian Pension Industry
Retirement Benefits Advisory (RBA) was formed in response to the
growing demand for specialized services in the fast-expanding pension and
allied industry in Nigeria." The successful implementation of the
Contributory Pension Scheme, the introduction of a Workman's
Compensation Act, and the reinvigoration of the Insurance Sector have
significantly influenced the long-term perspective of the Nigeria Financial
Services Sector. The phenomenal growth in the number of participants
coupled with the huge savings pose opportunities and threats.
Retirement savings are arguably the most important source of long term
savings for any country. On the one hand, their long-term nature makes
them vulnerable to various risks while on the other they form a veritable
source of long-term financing of the real sector and capital intensive
infrastructure financing. This seemingly contradicting juxtaposition begs
for a robust enabling environment and expertise to manage the vast
resources, being generated, efficiently and effectively.
It is in response to such demand for expertise that well diversified and
experienced consultants – in the areas of Finance, Accounting, Economics,
Actuarial Science, Law, Regulation/Supervision and, Labor & Human
Relations – were pooled to form the Retirement Benefits Advisory Limited
to complement the industry efforts.
About Us
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