The ANC in its election manifesto earlier this year said it would investigate using prescribed assets to help foster inclusive economic growth.
However, Alexandra Forbes says some of its pension fund members have indicated that they would withdraw from the retirement fund or reduce their contribution if prescribed assets became official government policy.
Alexander Forbes principal investment consultant Janina Slawski says if people feel that something is happening with the retirement fund that is not good for them, they will potentially withdraw their money.
The biggest issue is with reduced investment returns.— Janina Slawski, Principal investment consultant - Alexander Forbes
The concerns have been coming from the trustees because they are entrusted with looking after members' assets in the best possible way.— Janina Slawski, Principal investment consultant - Alexander Forbes
So they've been asking questions as to how concerning is this, should we be looking for ways to start protecting members assets from these sorts of questions. There are a lot of concerns and if anything was to be implemented it will have serious implications for members.— Janina Slawski, Principal investment consultant - Alexander Forbes
To hear the rest of the conversation, listen below: