Return to:
PO Box 1, Sanlamhof, 7532, South Africa
Our reference:
15793000X9 F001
19 September 2019
Mr R.A.P. Dayaram
87 Varsity Drive
Reservoir Hills
4091
Dear Mr Dayaram
Your retirement plan is maturing
on 1 November 2019
Fund name
CENTRAL RETIREMENT ANNUITY FUND
Plan number
15793000X9
You have trusted us for the last 23 years by diligently contributing to this retirement plan. We
thank you for trusting us with your savings and for your continued loyalty!
This plan was taken out by the CENTRAL RETIREMENT ANNUITY FUND ("the Fund") and
will mature on 1 November 2019 with an illustrative benefit of R138 017.28. This means you
will need to make a decision whether to extend your term(s) and continue to grow your
retirement savings or to annuitise (begin drawing an income).
In order for you to select an option we provide all the necessary forms and explain in detail
the information required in the attachments.
This document aims to help you understand your options at retirement, in order for you to
make a choice that will help you to enjoy your retirement.
2/...
2
Mr R.A.P. Dayaram
19 September 2019
15793000X9
1. Continue to grow your retirement savings and retire later
If you do not need the cash now and want to benefit from further investment growth and tax
savings, you have the attractive opportunity to extend the term of your retirement plan.
The following options are also available.
•
Sanlam New Generation Cumulus Echo Retirement Annuity: You can now
convert your old generation plan into a flagship Cumulous Echo plan. This will not
incur any termination charges at the point of conversion, and will allow you to access
leading asset managers and a wide variety of unit trust portfolios. For more
information you can click on the link below to directly access the website or you can
enter it into your internet browser to go to site. http://sanl.am/sanlamra
•
Glacier by Sanlam: Glacier brings together leading experts and respected
financial services companies to meet its clients' financial needs. In order to conduct
a transfer to a Glacier product you might incur termination charges. Please see the
additional material attached. For more information you can click on the link below to
directly access the website or you can enter it into your internet browser to go to
site. http://sanl.am/glacierretirementincome
Should you wish to make use of this option, please complete sections 2, 5 and 6 of this form.
Sanlam members like you have the benefit of automatic continuation, which allows you to
continue saving towards retirement, as you have done up until now.
If you are currently making premium contributions into your retirement plan you have the
choice to continue with your current contributions, or to increase the amount of your
contributions. Many of our members choose this option in order to benefit from additional
growth on their investment.
If we do not hear from you within six weeks from retirement date then we will automatically
take care of the automatic continuation for you.
2. Start receiving a regular pension income
From your investment history we can tell that your financial security is important to you.
Since your plan is now maturing, you have the choice to start receiving a regular pension
income by purchasing an annuity with your retirement savings.
Please note that, you may take up to one-third of your savings in cash. The balance of your
investment however, must be used to purchase an annuity, to provide you with a monthly
income.
For your convenience, we have included more information about our pension options
available to you in the appended retirement maturity option form.
Should you wish to make use of this option, please complete sections 3, 5 and 6 of this form.
3/...
3
Mr R.A.P. Dayaram
19 September 2019
15793000X9
To take advantage of these opportunities, please complete the applicable sections and
send it to us as soon as possible. If you require any assistance, please contact your
adviser who normally provides you with advice.
Note: If we have not received a completed option form or heard from you by six weeks after
retirement date, your plan will continue automatically and we will reinvest your maturity value
in the Guaranteed Capital Fund (GCF). We have chosen the GCF on your behalf since it is
guaranteed not to decline in value. However, the GCF is a money-market fund and is
therefore not appropriate for long-term investments. The Guaranteed Capital Fund is not an
appropriate investment option for long-term investments. We encourage you to revisit your
investment options and fund choices every year. You have the opportunity to switch your
investment to a selected range of investment funds.
If we should realise that you do not respond because of contact details that have not been
updated, you would still enjoy the advantage of the automatic continuation. We shall take all
possible steps reasonably required to locate you according to the "Standard on Unclaimed
Assets" prescribed by Asisa, as available on the website www.asisa.org.za. We shall take the
necessary steps to locate you within 6 months, after 3 years and after 10 years from the
contractual retirement date. Any direct administrative costs and tracing fees will be
recovered from the proceeds. These costs and fees will be disclosed if a payment occurs.
We strongly suggest that you fully understand how a replacement would affect your ability to
meet your personal financial objectives. Among the potential implications of a replacement,
the following need to be taken into account:
• The financial objectives you aimed to achieve by initially taking out this plan, might not be
achieved.
• Risk benefits might be reduced or completely cancelled (if applicable).
• Costs might be applicable.
• Tax benefits might be lost.
Mr Dayaram, we thank you for the last 23 years and look forward to continuing our
relationship with you.
Yours sincerely
Sonja Sanders
Head: Client Experience: Sanlam Personal Finance
15793000X9
09092019
F001
DAYRA010
19092019
Die inligting sal nooit druk nie
Maturity and Reinvestment form
How do I complete this form?
To ensure that the processing of your form is as fast and efficient as possible, please note the
following:
1.
2.
3.
4.
5.
6.
7.
8.
9.
Consider all your options carefully before making a final decision: you only have one
chance to make this choice and it cannot be changed later on.
If you require assistance, contact your intermediary or the Client Care Centre on
0860 726 526.
Complete this form in full - since we cannot process incomplete forms.
For option 1, please complete sections 2, 5 and 6.
For option 2, please complete sections 3, 5 and 6.
For an alternative annuity provider, please complete section 4, 5 and 6.
Ensure that all relevant sections are signed by the authorised signatories.
Where relevant, please mark your selections with an "X".
Please attach a copy of your Identity document or passport (for foreign residents).
How do I submit this form?
1.
2.
3.
Email your completed form to: life@sanlam.co.za or,
Fax your completed form to: (021) 947 9440 or,
Contact your intermediary, or our Client Care Centre on 0860 726 526.
Your options at maturity
The decision that you make is extremely important as it affects your ability to maximise your
retirement income.
2/...
Reference: 15793000X9
FP
Section 1
Retirement benefit on 1 November 2019 for CENTRAL RETIREMENT
ANNUITY FUND
Plan number
15793000X9
Gross
illustrative
benefit
R
Market
adjustments
138 017.28
R
*Termination Outstanding
charge
contributions
R
n.a.
R
0.00
0.00
Nett
illustrative
benefit
R
138 017.28
Gross illustrative benefit
This benefit is the fund value of the underlying investment fund(s). In the case of the
Reversionary Bonus Series, the benefit already includes a termination charge.
Determining of retirement date
According to the fund rules, the retirement date will be determined on the date that you
provide the Fund with the completed and signed sections of this form. Once you have
provided the Fund with the completed form, the retirement date cannot be changed.
Your contributions are invested in a market-related portfolio which means that the benefit is
influenced by fluctuating investment conditions. The actual retirement benefit will be
recalculated at retirement, and may therefore be higher or lower than the illustrative benefit.
The actual retirement benefit will be calculated taking into account investment conditions up
to a few days prior to the retirement date to enable us to pay the benefit on, or as close as
possible to the retirement date.
Market adjustments
This refers to the adjustment to the fund benefit to reflect the market value of the underlying
assets in the Stable and Reversionary Bonus portfolios.
*Termination charge
The termination charge includes an alteration charge and/or transaction charge, if applicable.
The purpose of these are:
•
Transaction charge: covers the expense of the termination; and/or
•
Alteration charge: partly recovers the loss, resulting from the termination, of future plan
charges which are required to pay for the initial expenses incurred on the plan.
3/...
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Section 2
Option 1: Extend your term
Should you not require the cash right away, and would like to further maximise your
retirement income, you have the convenient option to extend your plan term with further
contributions. To get the maximum value from their investments, many of our members
prefer this option. Please indicate the amount below if you would like to start making regular
contributions.
Minimum requirement for further contributions
If you choose to continue the plan with further contributions, the contributions must be at
least R150 per month, or R1 800 per year, according to Sanlam's current minimum
requirement.
Contribution amount R
Note:
•
You may still qualify for the tax benefit.
•
Payments are deductible according to the Income Tax Act to a determined limit of
taxable income. How much is deductible will depend on your own circumstances.
Please complete the following sections:
•
Bank details for contributions.
•
Details of the intermediary who provided advice.
•
Please sign the Member Declaration.
2.1 Bank details for contributions after the extention of the term
According to the Pension Funds Act, Section 37A, the benefit that a member is entitled to,
may only be paid to the member unless the member can submit proof that he or she is unable
to open a bank account.
Account holder
Name of bank
Name of branch
Account number
6-digit branch code
Type of account:
Cheque
Savings
Transmission
Must the arrear contributions (if applicable) be collected additionally with the first new
contributions withdrawal?
Yes
No
Signed at (town or city)
Bank account holder signature
(Compulsory if payer differs from owner)
Date
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Section 3
Option 2: Start receiving a regular pension income
• An annuity is an investment that provides you with a regular monthly income for
the rest of your life through your retirement.
• It is important that you make the decision that will best meet your needs for a
retirement income.
You can purchase a life annuity with your full benefit:
• You can purchase an annuity with your full benefit. According to law, a pension/life
annuity must be purchased with at least two thirds of your accumulated benefit.
• You must also determine whether you desire a "fund pension" or a "private pension".
3.1 Your Sanlam pension options
You have a number of convenient basic pension options available to you, each of
which allows you to generate an income for your retirement.
When choosing an annuity, it is important for you to consider your expected expenses
during your retirement. This will allow you to choose an option that will maximise your
retirement income and ensure that you can cover your expenses.
Please indicate the range in which your current expenses fall. This should provide a
rough indication of your retirement expenses, and thus of your required monthly income:
• R0 - R10 000 per month
• R20 000 - R30 000 per month
• R40 000 - R50 000 per month
• R10 000 - R20 000 per month
• R30 000 - R40 000 per month
• More than R50 000 per month
Assumptions
The pension amounts quoted are calculated according to the pension tariff on the date
of this letter and are therefore only for illustrative purposes and not guaranteed. The
actual pension amounts will be recalculated according to the pension tariff applicable on
the date on which we receive your request together with all the requirements. This
means that the amount could differ and even be lower than the illustrative amount.
•
All pension payments are payable at the end of the month.
•
Pension payments are taxable, however we have not deducted any tax.
•
Cooling-off periods are not applicable.
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Please choose one of the "Fund proposed pension options" or one of the
"Additional pension options" below with an "X" to indicate your choice:
Fund proposed pension options
•
•
Full pension with growth
*R662.98 per month
Invest your full benefit of R138 017.28
in an annuity which generates an
income that grows at the rate of
inflation each year
•
•
•
Lump sum and pension with growth
*R437.00 per month
Take one-third (R46 005.76) of your
benefit in cash
Invest two-thirds of your benefit
(R92 011.52) in an annuity which
generates an income that grows at the
rate of inflation each year
* The amounts above are before the deduction of income tax.
These pension options indicated above are "Fund-proposed annuity options" approved
by the Board of Trustees in line with Regulation 39 of the Pension Funds Act and the
Rules of the CENTRAL RETIREMENT ANNUITY FUND. The Board of Trustees has made
this pension option available for members who would like to receive a pension from their
retirement date but are unable to make a choice regarding an annuity product to provide
them with income during retirement. The Fund-proposed annuity option is a life annuity
purchased from Sanlam Life. Please note the following aspects about the Fundproposed annuity option:
• The plan is a Sanlam Life guaranteed annuity and guarantees to provide pension for
the rest of your natural life;
• Pension increases in line with inflation each year and not affected by any market
movements;
• Pension payments will decrease if there is deflation (rate of inflation from one year to
the next is negative);
• Pension is guaranteed for a period of 10 years from inception date of the plan. On
earlier death, your pension will continue to be paid to your selected beneficiaries until
the end of the 10 year period;
• It is not a suitable pension option if you are suffering from a severe medical condition;
• It is not a suitable option if you want to provide for a lifelong pension to a spouse
upon your death;
• The purchase decision cannot be changed or reversed;
• The pension cannot be transferred to a different pension provider at a later stage;
• With this option no commission is payable; and
• The life annuity issued with this option will automatically be fund owned.
For more information on the different income options, please refer to the Retirement Fund
Bulletin on the Sanlam website. You can click on the link below to directly access the
website or you can enter it into your internet browser.
https://www.sanlam.co.za/retirementfunds/Pages/member-information.aspx
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It is highly recommended that you approach a Sanlam financial advisor or accredited
broker for advice on the best pension option that suits your individual financial needs.
Additional pension options
•
•
•
•
•
Full pension with growth
*R532.92 per month
•
Invest your full benefit of R138 017.28
•
in an annuity which generates an income
that grows at 7.0% each year
Full pension without growth
*R1 108.78 per month
Invest your full benefit of R138 017.28
in an annuity which generates an income
that does not grow at all each year
Lump sum and pension with growth
*R349.81 per month
Take one-third (R46 005.76) of your
benefit in cash
Invest two-thirds of your benefit
(R92 011.52) in an annuity which
generates an income that grows
at 7.0% each year
Lump sum and pension without growth
*R733.23 per month
Take one-third (R46 005.76) of your
benefit in cash
Invest two-thirds of your benefit
(R92 011.52) in an annuity which
generates an income that does not
grow at all each year
•
•
•
* The amounts above are before the deduction of income tax.
If you select one of the "Additional pension options" above then you must indicate below
if it must be a "Fund Pension" or a "Private Pension".
I choose the following option for the compulsory life annuity: (please tick the appropriate
block)
Fund pension
The Fund remains the owner of the compulsory life annuity. At your death the
Board of Trustees will determine how the remaining pension instalments (if any)
must be divided between your dependant(s) and nominee(s).
Private pension
You become the owner of the compulsory life annuity. At your death the remaining
pension instalments (if any) will be paid to the nominee(s) as appointed by you.
The quotations have been prepared with the following assumptions:
•
The pension payments are guaranteed for 10 years. Thereafter it is payable until
your death.
•
Each of the alternative pension payments indicated, has been calculated on the
assumption that commission of 1.5% of the respective purchase sums is paid to the
intermediary who provides you with advice (if applicable). This equates to
respective commission amounts of R2 070.26 (for the full pension option) and
R1 380.17 (for the lump sum and pension option). Please note that with the fundproposed annuity option (Inflation linked life annuity) commission is not applicable as
there is no commission payable.
Joint Life Pension
The investment amount is used for the purchase of a pension which provides an income
payment until the death of the last surviving life insured. Depending on the choice of
product, the income payment could reduce to a smaller amount at the death of the first life
insured or it could remain the same. In addition the income payment could be guaranteed
for a minimum term.
7/...
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Capital Protection Option: Whole Life (Plan 27)
The investment amount (refer to the purchase amount) is used for the purchase of a pension.
Part of the pension provides either a guaranteed level or an annually increasing (at the
chosen percentage) income for life. The remaining funds a plan that guarantees that the full
purchase amount is paid on the death of the life insured.
Inflation Linked Income with Capital Preservation (Plan 29)
The investment amount (refer to the purchase amount) is used for the purchase of a pension.
Part of the pension provides an income that increases annually with inflation (CPI) and is
guaranteed for life. The remainder funds a plan that guarantees that the full purchase
amount is paid on the death of the life insured.
The following annuity options are also available at Glacier by Sanlam:
The Glacier Investment-Linked Living Annuity (ILLA)
The Investment-Linked Living Annuity is a flexible investment product that provides you with a
regular income during your retirement while allowing your savings to grow.
The Glacier Investment-Linked Lifetime Income Plan (ILLI)
With the Investment-Linked Lifetime Income Plan, you have the certainty of a regular,
sustainable income for life. One that has the potential to grow in line with market returns.
A combination of both the ILLA and the ILLI
Many retirees may benefit by combining the above products, thereby getting income for life
together with the flexibility and potential capital growth provided by ILLA. Speak to your
adviser about using the ILLI (to cover your day-to-day expenses) in combination with the
ILLA, which could allow for capital growth, and for leaving behind a legacy for your loved
ones.
Option 3: Receive the benefit as a lump sum in cash
• You have the option to receive the benefit as a lump sum in cash. Receiving your
benefit as a cash lump sum at retirement may seem like a very attractive option to
take.
• However please be aware that this may not be in the best interest of your financial
future.
3.2 Bank details for the lump sum and/or the pension payments
According to the Pension Funds Act, Section 37A, the benefit that a member is entitled to,
may only be paid to the member unless the member can submit proof that he or she is unable
to open a bank account.
Account holder
Name of bank
Name of branch
Account number
6-digit branch code
Type of account:
Cheque
Savings
Transmission
Signed at (town or city)
Bank account holder signature
(Compulsory if payer differs from owner)
Date
8/...
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Tax details
•
•
•
•
Payment can only be made after we have requested and received a tax directive from
the South African Revenue Service (SARS) therefore please ensure that we have your tax
reference number and annual income.
It is in your best interest to ensure that you have no outstanding tax obligations. Sanlam
has a responsibility to ensure that SARS recover any tax in arrears and/or provisional tax
from the benefit prior to us making the payment to you. We will recover the
administration penalty, tax in arrears and/or provisional tax, if applicable, in full from the
payment amount.
Once a directive has been issued by SARS, we are not allowed to cancel the directive as
per the SARS instruction.
If you need to know what your tax situation is prior to retiring, you have the option of
requesting a Simulation of your tax directive, prior to making your final payment
selection. Please contact the Client Care Centre for more information.
Please verify and complete your tax details.
It is important that your personal details, for example identity number, on Sanlam's record
correspond with the details at SARS. If not, it will delay the finalising of your request as SARS
will be unable to provide us with the necessary tax directive. In order to enable us to verify
your details, such as identity number/tax reference number, with SARS when requesting the
necessary tax directive, please provide us with a copy of your latest tax assessment (IT34) on
which these details are reflected.
*Tax reference number (compulsory)
(10 digits starting with 0, 1, 2 or 3)
Current annual income (compulsory)
R
Country of permanent residence (compulsory)
Country in which you reside for tax purposes
(compulsory)
Have you ever received a tax rebate in Namibia
for the Retirement Annuity? (compulsory)
Yes
No
*Tax reference number
•
If you are not yet registered as a taxpayer, please do so before completing this form.
Name of member
Raj A.P. Dayaram
Signature
Date
9/...
Reference: 15793000X9
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Appointment of a nominee for the life annuity
It is important to appoint a nominee as this will assist Sanlam in determining to who any
outstanding pension amount should be paid to in the event of your death. Please complete
this section only if you do have a nominee you want to place on the life annuity.
If you should die before the end of the guaranteed term, Sanlam will pay the outstanding
pension available to the following nominee(s) if there are no other dependants.
Title, full names and surname
Postal address
Postal/Zip code
Residential address
Postal/Zip code
Contact numbers
International
dialing code
Area code
Number
Home
Work
Fax (home)
Fax (work)
Cell
E-mail address
Identity number/Passport number
(compulsory: passport number is ONLY for foreign residents)
Date of birth (ddmmccyy)
If passport number what is the
country of issue?
Passport expiry date (ddmmccyy)
10/...
Reference: 15793000X9
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Please take note of the conditions
•
•
•
•
Your appointment of nominee(s) will only be valid if Sanlam receives the signed form
before your death.
You can change the nominee(s) at any stage by handing in a newly signed form at a
Sanlam Life office.
You can appoint more than one nominee. Please supply all the above-mentioned
particulars of each nominee on a separate page.
Your appointment of a nominee does not compel the trustees to pay the benefit to the
nominee(s). They will take your wishes into account when deciding about the
distribution of the benefit between nominee(s) and dependants.
Important
Your choice cannot be changed later. We therefore suggest that you contact your
intermediary to assist you in making this important decision.
Should you receive advice from a Sanlam intermediary, he or she must complete an advice
record and submit it together with your option. By concluding this transaction on your own
you acknowledge that you have done so on your own accord and not based on the advice of
a Sanlam intermediary.
This quote is valid for 30 days.
11/...
Reference: 15793000X9
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Section 4
Alternative annuity providers
Although often considered less convenient for our members, you can elect to purchase an
annuity through another registered insurer.
Please complete the section below, and supply the required documents, should you wish to
transfer your benefit to another registered insurer:
•
•
•
Please contact your intermediary to assist you with the completion of the relevant
application form.
A copy of the completed application form must be attached to this submission.
All details below need to be completed in full.
Name of registered long-term insurer
FSCA registered insurer number
Contact person
Contact number
Contact e-mail address
New plan number
Bank details of insurer:
Account holder name
Bank name
Account number
Branch name
Branch code
4.1 Bank details for the lump sum in cash
According to the Pension Funds Act, Section 37A, the benefit that a member is entitled to,
may only be paid to the member unless the member can submit proof that he or she is unable
to open a bank account.
Account holder
Name of bank
Name of branch
Account number
6-digit branch code
Type of account:
Cheque
Savings
Transmission
Signed at (town or city)
Bank account holder signature
(Compulsory if payer differs from owner)
Date
12/...
Reference: 15793000X9
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Tax details
•
•
•
•
Payment can only be made after we have requested and received a tax directive from
the South African Revenue Service (SARS) therefore please ensure that we have your tax
reference number and annual income.
It is in your best interest to ensure that you have no outstanding tax obligations. Sanlam
has a responsibility to ensure that SARS recover any tax in arrears and/or provisional tax
from the benefit prior to us making the payment to you. We will recover the
administration penalty, tax in arrears and/or provisional tax, if applicable, in full from the
payment amount.
Once a directive has been issued by SARS, we are not allowed to cancel the directive as
per the SARS instruction.
If you need to know what your tax situation is prior to retiring, you have the option of
requesting a Simulation of your tax directive, prior to making your final payment
selection. Please contact the Client Care Centre for more information.
Please verify and complete your tax details.
It is important that your personal details, for example identity number, on Sanlam's record
correspond with the details at SARS. If not, it will delay the finalising of your request as SARS
will be unable to provide us with the necessary tax directive. In order to enable us to verify
your details, such as identity number/tax reference number, with SARS when requesting the
necessary tax directive, please provide us with a copy of your latest tax assessment (IT34) on
which these details are reflected.
*Tax reference number (compulsory)
(10 digits starting with 0, 1, 2 or 3)
Current annual income (compulsory)
R
Country of permanent residence (compulsory)
Country in which you reside for tax purposes
(compulsory)
Have you ever received a tax rebate in Namibia
for the Retirement Annuity? (compulsory)
Yes
No
*Tax reference number
•
If you are not yet registered as a taxpayer, please do so before completing this form.
For SARS directive purposes the above information is compulsory else the retirement benefit
cannot be paid. A copy of the completed Living Annuity/ Life Annuity application form must
accompany this request.
Full pension option
Use the full benefit to provide me with a pension.
Lump sum and pension option
Access a lump sum, and use the balance to purchase an annuity and provide me with a
pension.
13/...
Reference: 15793000X9
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Section 5
Personal details of the Member
Existing information
Postal address
Updated information
87 Varsity Drive
4091 Reservoir Hills
Postal/Zip code
4091
Residential address
Postal/Zip code
Contact numbers
(Home) (031) 2622471
(Work) (031) 2612237
(Cell) 0845166934
Email address
rajdayaram@bigpond.com
Identity number
6312295117082
Passport number
Passport Country of
issue
Expiry date
(ddmmccyy)
Tax reference
number
If you are a permanent resident of a country other than the RSA, please state
The country of which you are a permanent resident at present
Date of departure from the RSA
Did you emigrate from the RSA?
Yes
No
Date of emigration
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Banking details for emigrants
State the name and address of the SA bank that dealt with your financial affairs when you left
the RSA.
Account number
Name of SA Bank
Address of SA Bank
No advice received
Important:
Your choice cannot be changed at a later stage. We therefore suggest that you contact your
intermediary to assist you in making this important decision.
I declare that by concluding this transaction on my own I acknowledge that I have done so on
my own accord and not based on the advice of a Sanlam accredited intermediary.
Member's signature
I received advice
Please complete the details of the intermediary who provided you with advice.
Full name(s) and surname
Intermediary code
PRI/BIBlife code (if applicable)
Contact details
*(Home)
*Fax (home)
*(Work)
*Fax (work)
*Cell
Should you receive advice from a Sanlam intermediary, he/she must complete an advice
record and submit it together with your completed option form.
Note to intermediary:
Kindly note that the advice documents are to be sent to your Sanlam consultant/gatekeeper
or that an indication must be given in this form that the FAIS documents have been checked.
Note:
In order to comply with FAIS regulations, a quotation and an application form are compulsory
when:
• Commission/fees are payable (Intermediary's details and commission/fees will then be
completed manually on the option letter) and/or
• An adviser or broker gave advice for other/different investment funds than the Guaranteed
Capital Fund as printed in the option letter. (Other investment funds will then be
completed manually on the option letter.)
• Please note that with the fund-proposed annuity option (Inflation linked life annuity)
commission is not applicable as there is no commission payable.
15/...
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Section 6
Terms and conditions
• If we do not hear from you, or if your choice does not reach us in time, your retirement
benefit will automatically be invested in our Guaranteed Capital Fund for capital growth
without further contributions. To confirm the continuation, you will receive a new contract
document for safe keeping and future references.
• You may change into another investment fund at any time after your retirement date. The
transfer will be applicable from the date on which the request is received.
• The Guaranteed Capital Fund consists of South African investments in short-term
interest-bearing securities and cash. The capital value on an investment in this fund is
guaranteed never to decrease in monetary value. It will increase with bonuses that are
regularly added. The bonus rate can fluctuate depending on the level of short-term
interest rates.
• The following charges will be applicable if the plan is continued in the Guaranteed
Capital Fund:
(These charges are applicable on 9 September 2019 and may change from time to time)
• A plan charge, currently R12.00 per month. This will increase in future to allow for
inflation.
• A yearly administration charge which consist of the following:
• A fixed administration charge, currently 1.25% of the fund value. We take this
charge into account when we calculate the daily unit price of the investment fund.
• A variable administration charge that is a percentage of the fund value. This charge
changes as the fund value increases to higher fund value bands. The variable
administration charge is currently 0.30% per year of the fund value for the first
R500 000.00 and 0.00% of the fund value in excess of R500 000.00.
• The Guaranteed Capital Fund is not an appropriate investment option for long-term
investments. We encourage you to revisit your investment options and fund choices
every year. You have the opportunity to switch your investment to a selected range
of investment funds.
• If we should realize that you do not respond because of contact details that have not been
updated, you would still enjoy the advantage of the automatic continuation. We shall take
all possible steps reasonably required to locate you according to the "Standard on
Unclaimed Assets" prescribed by ASISA, as available on the website www.asisa.co.za.
We shall take the necessary steps to locate you within 6 months, after 3 years and after 10
years from the contractual retirement date. Any direct administrative costs and tracing
fees will be recovered from the proceeds. These costs and fees will be disclosed if a
payment occurs.
16/...
Reference: 15793000X9
FP
Member Declaration
Important:
Your choice cannot be changed later. We therefore suggest that you contact your
intermediary to assist you in making this important decision.
By concluding this transaction on your own you acknowledge that you have done so on your
own accord and not based on the advice of a Sanlam intermediary.
Full Name(s) and surname
Please acknowledge your agreement with the following:
• I fully understand all my options available to me at maturity.
• I understand that my decision will have an impact on my retirement lifestyle and income.
• All the information provided by me in this document is correct to the best of my knowledge
and I declare that I understand the implication of my choice.
• If relevant to my election in this form, I confirm that:
- The conversion to a private pension takes place at my request, responsibility and risk.
- I understand that my membership to the CENTRAL RETIREMENT ANNUITY FUND
ceases as soon as the conversion is finalized and that the fund will have no further
obligation towards me.
- I exempt the CENTRAL RETIREMENT ANNUITY FUND of any liability for loss or
disadvantage that my dependant(s) or I may suffer after the conversion.
- I will make sure that the conversion is not to my disadvantage, financially or otherwise.
Signed at (town or city)
Your signature
Date