Standard Financial Planner

Member of the Professional Investment Services Group of CompaniesAustralia I New Zealand I Singapore I Malaysia

Fulfilled the Inadequacy &Bridge the GapOctober 2012

The material shown in this presentation is for general information purposes only. The views expressed are those of the individual and are not necessarily those of Standard Financial Planner Sdn Bhd or its related bodies corporate. The material this presentation and the views expressed are not intended to be, nor should they be interpreted as specific personal investment or risk advice. Any economic and performance information provided does not indicate future results.

Whilst all care is taken in the preparation of this material no warranty is given with respect to the information provided, and accordingly no responsibility for errors or omissions, including responsibility to any person by reason of negligence is accepted by Standard Financial Planner Sdn Bhd, any of its related bodies corporate or any member or employee of Standard Financial Planner Sdn Bhd.

Before acting on any of the information contained in this presentation you should obtain specific advice from a specialist investment or risk professional, which is appropriate to your specific investment or risk needs, objectives and financial situation.

Emerging markets risk

Political & regulatory risks

Currency risks Counterparty risks

Volatility risks Liquidity risks Country specific risks

Disclaimer

Interesting Facts

How Malaysia fares?

Working Malaysians planning for retirement has fallen, from 48% in

2007 to 38% in 2010.

Most only started to prepare for retirement at age 39.

  US Australia UK SEA Malaysia

Age start planning for retirement

31 35 29 34 39

Ideal age to retire 64 64 63 58 56

Years to prepare for retirement

33 29 34 24 17

Interesting Facts (con’t)

How Malaysia fares?

About 55% of the working Malaysian said having childrenis the main triggers to start saving for retirement.

Only 37% of the working Malaysian consider their future income will be sufficient vs 62% in 2007.

PRS: Bridge the gap

EPF current asset allocation is 70% - 80% into fixed incomes instruments.

Mismatching in terms of risk profiles

For example, 30 years old person with long horizon of 30 years to prepare for retirement.

PRS able to bridge the GAP by providing an opportunity to enhance the returns by matching ones risk profiles or needs

PRS: Bridge the gap (con’t)

Tax incentive enjoyed by employer

PRS can be design as bonus/ compensation scheme as part of the employers’ staff retention program

PRS gives the employers more reasons to contribute more, which in turn help the employees to save and accumulate more for their retirement

PRS: Tax Incentives

IndividualsTax relief of up to Rm3,000 for the first 10 years from assessment year 2012

EmployersTax deduction on contributions to PRS made on behalf of their employees above the EPF statutory rate up to 19% of employees’ remuneration

PRS: The Future

To complement on EPF

To cultivate the public habits on savings for retirement

Retire happily with MONEY !

StandardFinancialPlanner

2011 ConferenceTaipei

Standard Financial Planner

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