KUALA LUMPUR: The total investment assets of the Employees Provident Fund (EPF) as of September 2022 are worth RM961.1 billion, said Deputy Finance Minister Datuk Seri Ahmad Maslan.
He said EPF money is currently invested in a number of instruments such as fixed income instruments as much as 48 per cent, Malaysian listed equities (up to 37 per cent), private equity (up to 49 per cent), real assets (seven per cent) and money market instruments (four per cent).
“The EPF also invests in domestic investment of up to 64 per cent and overseas investment (36 per cent),” he said during an oral question and answer session in Parliament today.
He answered additional questions from Datuk Mohd Shahar Abdullah (BN-Paya Besar) regarding the total amount of EPF assets, retirement savings fund investment instruments and the difference between past and present dividends.
Commenting on the comparison of dividends, Ahmad said returns in the past were higher, between seven and eight per cent, compared to now because there is a difference in dividends obtained from fixed income instruments and the percentage of the inflation rate.
“The situation in the past and now is different, the dividend recorded by fixed income instruments in the past was high, between seven and eight per cent and the inflation rate was also high, but inflation is now at 3.8 per cent and the dividend of fixed income instruments is only between 3.0 and 3.5 per cent, so the dividend is as we get,” he added.
Meanwhile, in response to an additional question from Datuk Syed Abu Hussin Hafiz Syed Abdul Fasal (PN-Bukit Gantang) regarding the dividend and limit for the voluntary contribution rate, Ahmad said there is a proposal to increase the contribution rate from RM60,000 to RM100,000 and this will be announced by the Finance Minister in Budget 2023.
“Presently, the amount of voluntary contribution is limited to a maximum of RM60,000 and the dividend is based on the amount of contribution made.
“However, if after this there is an increase in the amount of voluntary contribution (there is a possibility) there will be an increase in the dividend… (if) the dividend announced by the EPF is large, then that is the dividend they will get,” he said. – Bernama