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AFRF Newsletter Issue 4 2026

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Retirement

Alexander Forbes Retirement Fund Newsletter Issue 4 for 2026

alexforbes.com


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Alexander Forbes Retirement Fund newsletter

Welcome to Issue 4 of the AFRF newsletter!

As the year draws to a close, many households may be feeling the pressure of everyday costs, debt

In this issue

repayments and year-end expenses. Looking ahead can be difficult when today’s needs demand so much attention. In this issue, we share practical

Fund update

3

Find and understand your benefit statement

3

You withdrew from your savings pot. What can you do next?

7

What if payday could last beyond your working years?

9

Quick links and seven year-end money checks

11

Reader survey and prize competition

12

Investment performance update

14

information to help you understand your benefit statement, see how savings pot withdrawals may affect your future retirement savings, and learn how today’s contributions can help provide an income after retirement.

Know today. Build tomorrow. Small, informed actions can help you stay connected to your retirement goals and build confidence in your financial future.


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Alexander Forbes Retirement Fund newsletter

Fund update Stay up to date with the latest changes affecting the fund.

The Annual Trustee Report for the financial year ended 31 March 2026 is available, click here to read.

Find and understand your benefit statement Your benefit statement gives you a snapshot of your retirement fund information. It can help you understand how much has been saved, the contributions received and how your money is allocated across the different pots. AF Connect is available 24 hours a day, seven days a week. You can view your latest statement as well as previous statements whenever it suits you.

How to find your statement on AF Connect in to AF Connect or register if you have not • Log used the platform before. • Select Documents. latest statement should appear automatically. • Your Use the available tabs to view previous statements. the arrow next to the statement you want to • Select open. • Log in to InfoSlips to view your statement. Log in to or register for AF Connect Use the screenshots below as a visual guide. The screens may look slightly different depending on your device or platform updates.


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Alexander Forbes Retirement Fund newsletter

Open documents After logging in to AF Connect, select Documents.

Find your latest statement The page displays your latest available statement. Use the tabs to view earlier statements.

Open the statement Select the arrow next to the statement you want to view.

Log in and view your statement. Complete the InfoSlips login steps shown on screen. Continue to InfoSlips Follow the prompt to open InfoSlips.

Alexander Forbes Retirement Fund newsletter


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Alexander Forbes Retirement Fund newsletter

Understanding your benefit statement.

Dear T Stark – we welcome you to the ABC Fund (Pension/Provident Section) on 1 September 2008. Your normal retirement date is September 2041 at 65 years of age.

Your details

Complete the InfoSlips login steps shown on screen.

Name

Mr T Stark

Employer

Avengers

ID/Passport

1234567890123

Employee number

10220489

Date of birth

07/09/1976

Monthly employer contribution

20.50%

Date joined company

01/09/2008

Monthly member contribution

0%

Date joined the fund

01/09/2008

Pensionable service date

01/08/2002

Member number

M12345678

Normal retirement date

30/09/2041

Normal retirement age

65

Annual pensionable or fund salary

R497,305.20

Fund’s registered address

Alexforbes 115 West Street Sandown 2196

Billgroup

Avengers

Member Group

EE 0% ER 20.50% NRA65

Total fund credit Note: Your ongoing monthly contributions are invested according to your specific instructions.

Portfolio summary

10 10a

Transaction summary Vested Pot

Vested portion

10b

11

12

Non-vested portion

Savings Pot

Retirement Pot

Total

%

AF Active Balanced High Growth

R1 333 336.82

R317 168.97

R2 339.54

R4 799.08

R1 657 704.41

100%

Grand Total

R1 333 336.82

R317 168.97

R2 339.54

R4 799.08

R1 657 704.41

100%

Description 1

ABC Fund (Pension or Provident Section)

The name of the retirement fund you belong to and the section you belong to, which can be either pension or provident.

2

Employer name

Your employer’s name

3

ID or passport number

The ID or passport number we have for you – if incorrect please notify your HR or payroll department.

4

Date joined the fund

The date you started contributing to the fund

5

Monthly employer contribution

The contribution rate of the employer

6

Monthly employee contribution

The contribution rate of the employee

7

Normal retirement age

The age set by your employer at which you must retire

8

Annual pensionable or fund salary

Your annual pensionable or fund salary is set by your employer and is a percentage of your annual salary. Usually this is 75%, but it can differ depending on what your employer has implemented. Refer to your benefits fact sheet for more information, which is available from HR/Payroll

9

Member group

Shows the contribution rates of the employer (ER) and employee (EE) and the normal retirement age (NRA) 10a Vested Portion

Your vested portion includes all accumulated retirement savings until 31 August 2024, plus investment growth thereon into the future

10b Non-Vested portion

The non-vested portion includes the contributions of provident fund members who were younger than 55 on 1 March 2021 until 31 August 2024 as well as provident fund members who were aged 55 or older on 1 March 2021 and changed funds after 1 March 2021

10

Vested Pot

11

Savings Pot

This pot includes one-third of your contributions made to the fund from 1 September 2024

12

Retirement Pot

This pot includes two-thirds of your contributions made to the fund from 1 September 2024


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Alexander Forbes Retirement Fund newsletter

Beskrywing Opening balance – 01/07/2024 13

Vested Portion3

Non-vested portion

Savings pot

Retirement pot

Total

R1 293 015.53

R293 847.06

R0.00

R0.00

R1 586 862.59 R25 486.86

Employer contributions

14

R0.00

R16 991.24

R2 831.87

R5 663.75

Employee contributions

15

R0.00

R0.00

R0.00

R0.00

R0.00

Other transactions

16

R0.00

R0.00

R-29 509.70

R0.00

R-29 509.70

R0.00

R0.00

R-29 509.70

R0.00

R-29 509.70

17

R0.00

R0.00

R0.00

R0.00

R0.00

Additional voluntary contributions

R0.00

R0.00

R0.00

R0.00

R0.00

Expenses

R0.00

R-2 917.54

R-487.25

R 974.50

R-4 379.29

GLA premiums

R0.00

R-1 773.72

R-295.62

R-591.24

R-2 660.58

Disability benefits

R0.00

R-994.62

R-165.77

R-331.54

R-1 491.93

Administration fees

R0.00

R-143.76

R0.00

R0.00

R-219.18

Other fees

R0.00

R-5.42

R-0.73

R-1.45

Annual Savings Claim: Transfers in

18

Switches in

R30 000

Switches out

R-7.60 R30 000

R-24 235.05

R-5 764.95

R0.00

R0.00

R-30 000.00

Switches

19

R0.00

R0.00

R30 000.00

R0.00

R30 000.00

Investment return

20

R64 556.34

R15 013.16

R-435.38

R109.83

R79 243.95

Closing balances – 30/09/2024 21

R1 333 336.82

R317 168.97

R2 399.54

R4 799.08

R1 657 704.41

Description 13

Opening Balances

14

Employer contributions

15

Employee contributions

16

Other transactions

17

Transfers in

18

Expenses

19

Switches

20

Investment returns

21

Closing balance

The value of your retirement savings in the fund (fund credit) at the beginning of the reporting period. The contributions that have been received by your employer and invested in the period of the statement. The statements reflect gross contributions. Expenses are now shown separately. See your benefits fact sheet for details. All your contributions invested in the period of the statement. The statements reflect gross contributions. Expenses are now shown separately. See your benefits fact sheet for details. This refers to transfer values, additional voluntary contributions, bulking allocations, divorce orders, maintenance orders, called-up loans, savings pot withdrawal claims and management committee if applicable. Details of the “other transactions”. A breakdown of your fund benefits and fund expenses. The expenses are made up of administration, reinsurance premiums, as well as any other ad hoc fees or deductions. Shows if you have changed portfolios at any time, or the rebalance of portfolios if a member is in lifestage, plus the once-off two-pot seeding transfer. The actual rand change in your investment value over the reporting period which can be positive or negative, depending on the performance of the markets. The value of your retirement savings in the fund (fund credit) at the end of the reporting period.

What should you check?

Your name, identity or passport number, employer details and date of joining the fund.

Your normal retirement age and pensionable or fund salary.

Your employer and employee contribution rates.

Contributions, transfers, expenses, investment returns and other transactions and your closing balance for the reporting period.

Your vested, savings and retirement pot balances.

If something does not look right, contact your HR or payroll team to update personal or employment information. For questions about your fund’s statement, contact your HR or Payroll department for support.


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Alexander Forbes Retirement Fund newsletter

You withdrew from your savings pot. What can you do next?

How a withdrawal can affect your retirement savings

South Africa’s two-pot retirement system gives you access to part of your retirement savings before retirement. From 1 September 2024, one-third of your retirement fund contributions are allocated to the savings pot. You may generally make one savings pot withdrawal in a tax year, if needed, subject to the applicable rules.

The example below illustrates how the frequency of withdrawals may affect a member’s retirement outcome.

A withdrawal may help when you are under financial pressure, but it is taxed and reduces the amount that remains invested for your future. Before deciding, consider the immediate need as well as the long-term effect on your retirement outcome. Try the two-pot withdrawal calculator to see an illustration of how a withdrawal may be taxed. In these examples, each member earns R350 000 a year, contributes 15% towards retirement over 30 years and receives a 5% annual salary increase. The only difference is how each person uses the savings pot.

Naledi leaves her savings pot invested

Naledi does not make any savings pot withdrawals. Cash received: R0 Estimated retirement outcome: R3.57 million Retirement savings reduction in rands: R0

Kabelo withdraws occasionally

Kabelo makes two savings pot withdrawals over 30 years, about once every 10 years. Cash received: R319 000 Estimated retirement outcome: R2.60 million Retirement savings reduction in rands: R697 387

Amina withdraws every year

Amina makes a savings pot withdrawal every year. Cash received: R384 000 Estimated retirement outcome: R2.40 million Retirement savings reduction in rands: R870 400

What this shows:

What this shows:

What this shows:

Keeps all savings invested for future growth.

Receives cash before retirement, while less money remains invested.

Receives more cash along the way, with the lowest estimated retirement outcome of the three scenarios.

Persona

Withdrawal pattern

Cash received

Estimated outcome

Reduction (R)

Reduction (%)

Naledi

No withdrawals

R0

R3.57 million

R0

0.0%

Kabelo

Every 10 years

R319 000

R2.60 million

R697 387

10.6%

Amina

Every year

R384 000

R2.40 million

R870 400

13.2%

These examples are for illustrative purposes only and are not financial advice. Actual retirement outcomes will depend on individual circumstances, contribution history, retirement age, investment returns and preservation decisions. Figures are based on actuarial assumptions and may be rounded.


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Alexander Forbes Retirement Fund newsletter

Why withdrawals can have a lasting effect Tax is deducted from a savings pot withdrawal at your marginal income tax rate.

The good news: you can take steps to recover If you need to use your savings pot, the following smart ways may help you get back on track:

The amount withdrawn can no longer earn future investment growth.

I ncrease your retirement contributions when you can.

Frequent withdrawals can have a greater effect because less money remains invested over time.

se part of a bonus or salary increase to U strengthen your retirement savings.

For more information about tax, visit the SARS website

If you withdraw If you withdraw occasionally every year Smaller adjustments may help you recover over time.

More deliberate action may be needed.

Increase your contribution by 1.6% after each withdrawal.

Consider increasing contributions regularly, by at least 1.98% every year.

Consider increasing your contribution after a withdrawal, using part of a bonus or salary increase, and avoiding the full available withdrawal where possible.

Consider withdrawing only what you need, skipping withdrawals in some years and reviewing your retirement plan after each withdrawal.

These scenarios are for illustrative purposes only and are not financial advice.

ithdraw only what you need rather than W the full available amount. kip a withdrawal in years when you have S another way to manage the expense. eview your retirement plan after a R withdrawal and get financial advice if you need help.

A simple way to think about it A savings pot withdrawal is not extra money. It is money taken from your future retirement savings. If you withdraw, look for realistic ways to rebuild what you have used. The savings pot is there to help when you need it, but how you use it matters. The impact of withdrawals depends on the amount withdrawn, timing and future contribution levels. Frequent use can reduce your retirement savings more significantly. Every rand left invested has more opportunity to grow for your future.


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Alexander Forbes Retirement Fund newsletter

What if payday could last beyond your working years? Every month, your salary helps you take care of life today. But it’s also worth thinking about another important payday: the income your retirement savings could provide when you stop working. When you contribute to your retirement fund, you are not simply setting money aside. You are helping to build an income that could support your lifestyle in the future. Think of every contribution as a payment to your future self.

Two paydays. One future. The salary paid into your bank account covers today’s needs, such as groceries, transport, school fees and household expenses. Your retirement contribution has a different job. It helps build the income you may rely on when you are no longer earning a regular salary.

The more consistently you contribute, and the longer your money remains invested, the greater the opportunity for it to grow over time.

Why youraction retirement One small today fund can work hard for you Tax advantages Retirement fund contributions may qualify for tax deductions, subject to the limits in tax legislation. Increasing your contribution may therefore cost less than you expect while helping to strengthen your retirement savings. Strength in numbers Retirement funds may benefit from institutional pricing and economies of scale, which can help keep more of your money invested for the future. Time to grow Money invested for longer has more opportunity to grow. Starting early, contributing consistently and staying invested can make a meaningful difference to your retirement outcome.

A question worth asking Many people focus on how much they have saved. A better question may be: “What monthly income will I need when I stop working and how much do I need to save now to fund it?” Retirement planning is not just about building a savings balance. It is about creating an income that can help support the lifestyle you want in the future.

One small action today The next time your salary increases, consider directing part of the increase towards your retirement savings. Even a small change today may help strengthen the income you could depend on in the future.

Your future payday starts now Every contribution is more than a deduction on your payslip. It is an investment in your future income, independence and financial security. What income are you building for your future self?


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Alexander Forbes Retirement Fund newsletter

Quick links Get the most from your retirement benefits with AF Connect AF Connect gives you simple online access to your retirement fund information. You can use it to view your fund value, download documents, update key details and access tools that help you understand your benefits. If you are not registered yet, do not delay. Make sure your contact details are up to date with your HR or payroll team, then register for AF Connect and take charge of your retirement savings.

My Money Matters Looking for clear, helpful financial guidance? It’s all about the member experience and using everyday words to make information accessible and meaningful to everyone. Our communication uses plain language (familiar words, relatable examples, helpful visuals) to give members the right information at the right time using a friendly, positive tone.

My Money Matters Centre: 0860 000 381 Email: mymoneymatters@alexforbes.com Website: mymoneymatters.alexforbes.com

Register or log in: AF Connect


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Alexander Forbes Retirement Fund newsletter

Seven small money checks before year end

1

Cancel what you no longer use. Review subscriptions and recurring payments, then cancel services you no longer need.

Check your bank charges. Consider whether your bank account and transaction habits still suit your needs.

2 3

4 5 6 7

Review your insurance cover. Check that important belongings and major risks are adequately covered without unnecessary duplication. Plan for January now. List school fees, transport and household costs before festive-season spending begins and save for these expenses where possible. Check your credit report. Look for unfamiliar accounts or incorrect information and raise concerns promptly.

Organise your financial documents. Keep important policies, account details and instructions together where a trusted person can find them.

Automate one helpful habit. A scheduled payment towards a goal can make consistency easier.

Help us make the newsletter more useful Tell us what worked, what you would like us to explain next and what action you may take after reading this issue. Complete the short survey for a chance to enter the prize competition.


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Alexander Forbes Retirement Fund newsletter

Investment returns Performance of investment portfolios to 30 September 2026 Let’s take AF Balanced High Growth as an example The value of R100 invested over various periods to the end of September 2026

2

1

Over a period of 10 years you would have R29 more for every R100 you saved in this investment portfolio instead of its benchmark.

AF Balanced High Growth and Performer Benchmark

We measure how well a portfolio is performing by comparing it to a benchmark1. We can see that the portfolio is better than its benchmark over most periods.

4

R282 R253

R181

R175

Over long periods, we expect the value of investments to grow in line with its target, which may not be the case in shorter periods. For this reason, it’s better to focus on long periods like five or ten years when you look at retirement savings.

R156 R152 R100

R109

R101

3 months

R106

1 year

3 years

Source: Alexforbes

5 years

10 years

5

Keep in mind that the value of your investments goes up and down.

3

Invest over long periods for your money to grow, the longer the better.

AF High Growth

AF Passive Bold R274

Benchmark

R252

R179 R180

Benchmark R155 R156

R188

R180

R107 R107

R175

R101

R160 R101

R101

3 months

R100

R110 R108

1 year

3 years

5 years

10 years

3 months

1 year

3 years

5 years


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Alexander Forbes Retirement Fund newsletter

Details on how to read the charts are included on the previous page.

AFRF Houseview Income Target Benchmark

AFRF Passive Houseview Income Target R155 R152

Benchmark

R154 R152

R111 R110 R101 R101

R111 R110 R101 R101

3 months

1 year

3 years

AF Retirement Navigator

3 months

1 year

3 years

Clarity Performer

Benchmark

Benchmark R119

R102

R175

R109

R102

R187

R156 R152

R101 R100

3 months

1 year

3 months

R109 R106

1 year

Click here to view the investment returns for all trustee approved portfolios.

3 years

5 years


5252-2026-11 • Getty Images

Contact us 0860 100 333

Monday to Friday between 08:30 and 17:30

While care has been taken to present correct information, the fund, its trustees/principal officer and Alexforbes, its directors, officers and employees, take no responsibility for any actions taken based on this information, all of which require financial advice. Please speak to your financial adviser for advice tailored to your individual financial needs.

alexforbes.com


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