R70m fund for the ladies

Xolile Bhengu

Xolile Bhengu

The Presidential Working Group for Women and Old Mutual yesterday launched a new R70million women's investment fund.

The group and Old Mutual said R20million of the seed funding came from the Domestic Workers Plan, which they launched last year as part of the working group's Financial Solutions for Women.

The group had been tasked by the presidency two years ago to find comprehensive solutions to women's financial needs, and the fund was a retirement investment solution for women.

The spokeswoman for the Presidential Working Group for Women, Brenda Madumise, said their research found that though women outlived men by five to seven years; represented 50percent of retirement fund members; 33percent of fund assets; they only represented 7percent of retirement fund trustees.

Madumise said this was a signal that women were neither in charge of their benefit design or investment policy and strategies of their retirement funds.

She said one of the key problems for women was that they saved over a shorter period, and providing for the needs of their children was a higher priority than saving for their eventual retirement.

She added: "This fund will allow women to be in charge of their retirement financial decisions and change the current saving patterns, as the fund looks out for their future needs."