The National Social Security Fund (NSSF) will host its first ever investment and wealth management Symposium on June 10, 2019 aimed at helping its customers in making good financial and investment decisions
The Symposium which will be held at Kampala Serena Hotel will bring together professional financial advisers from within East Africa region to train, educate and impart knowledge to NSSF customers on how to make reliable investment decisions for their retirement benefits and their other savings
According to a survey conducted by NSSF in 2018 among the retirement beneficiaries to compare the quality of life before and after receiving the beneficiaries, almost 98% of the NSSF Retirement beneficiaries blow away their savings in the first year after receiving them, and only 5% receive financial independence after getting their benefits, a trend that is worrying for the Fund and the economy at large.
The NSSF Managing Director, Richard Byarugaba says this is due to lack of professional advice on how and where to invest or use up their savings
“The survey shows that 56% of Ugandans get their financial advice from household members or relatives. It also shows that 45% of the beneficiaries invest in nonproductive ventures like completing or building new homes which means they do not have money left to enjoy their retirement age” he said
Byarugaba further added that almost all (90%) of their customers are only saving with NSSF which means that at retirement, which makes the situation worth
“This is why we are moving to help our customers change their mindset about savings and investment. Our customers need to plan and seek expert advice if they are to sustainably benefit from their savings” he said
The Symposium is expected to attract over 1,000 people who will be exposed to tailor made business solutions available at various financial service providers. There will also be an external guest speaker who will talk about “Wealth Creation and preservation for Generation”. Other markets will include ” how to create Wealth through capital markets, real estate for wealth creation and preservation.
“This Symposium is only part of our financial literacy program at the Fund. Through this initiative, we want to offer professional financial and investment advice to our members to enable them make better decisions when they get their retirement funds” he said
NSSF pays out over Shs 44b in benefits annually. Currently only 11% of the 17m work force in Uganda is saving with NSSF