Simpler, cheaper offering for beneficiary fund industry
|Issued by: FedGroup|
[Johannesburg, 6 November 2012]
FedGroup Financial Services has kicked off the month of November with the re-launch of its Beneficiary Care offering.
Unveiled at exclusive pre-launch sessions, which were held in Johannesburg, Cape Town, Durban and Pretoria, the launch follows a strategic decision taken recently to refine the existing offering from three products to two. Making its industry debut last week, FedGroup’s Beneficiary Care will lead the market as the simpler and cheaper option.
The “simpler and cheaper” basket of apples now boasts a choice between the Provider or Guardian product. According to FedGroup Executive, Grant Field, both products offer simplicity in terms of structure, fees and service.
A combination of the group’s previous Instalment and Protector products, the Provider offers a cost-effective option to Guardians who have been tasked with taking care of a minor child. “This product offers monthly, quarterly, annual or a combination thereof as well as capital growth,” explains Field.
Considered the only, truly managed product within the industry, FedGroup’s Guardian product features active trustee involvement, negotiation of payments and direct third party payments. “These features ensure that a beneficiary’s well-being is safeguarded,” affirms Field.
Because cost remains a main concern within the Beneficiary Fund landscape, FedGroup has implemented a new, reduced cost structure. Since introducing Beneficiary Funds in 2009, the group has experienced positive growth. “This growth, coupled with enhanced systems, has allowed us to aggressively reduce our fees, ensuring that savings are passed on to beneficiaries,” explains Field.
The transparent cost structure boasts zero dissolution fees. Moreover, fees are quantifiable up front while all cost recoveries remain fixed.
In addition to a simpler and cheaper product offering, experience, transparency and systems make FedGroup a market leader.The average experience held by members of the administration team is more than 10 years. According to Field, his team possesses the most important experience required to care for minor beneficiaries – they are parents.
Furthermore, the team is guided by five trustees (three of which are independent) who hold extensive experience within the industry. “Their combination of expert skills and trustee experience ensures both technical competence and empathy for beneficiaries,” says Field.
It is not only people that sets FedGroup apart from other Beneficiary Fund providers; its dynamic systems and processes allow flexibility and cost efficiency that is not offered by any other provider within the industry.
“We are the only company that can view approved and unapproved benefits side by side in a single system. With real-time links to the bank and full accounting support built into the system, FedGroup's custom system is truly a flagship in the industry,” boasts Field.
The changes made to FedGroup’s Beneficiary Care offering complement its already-strong value proposition, which resides in the investment that it makes in its beneficiaries. “From our simple product offering and transparent fee structure to the experience of our administration team and the involvement of our trustees, we invest in the future of our beneficiaries,” concludes Field.