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Private Pension Administrator Malaysia

Incepted alongside the launch of the Private Retirement Scheme (PRS) on 18 July 2012, the Private Pension Administrator Malaysia or PPA is the central administrator for the PRS.

Type of business
Financial Services

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Who We Are

Incepted alongside the launch of the Private Retirement Scheme (PRS) on 18 July 2012, the Private Pension Administrator Malaysia or PPA is the central administrator for the PRS. PPA is a body approved by the Securities Commission and is established to administer and promote the growth of the PRS industry.

The PPA plays a significant role in enabling infrastructure for additional retirement savings. PPA’s key objectives are to provide efficient administration as well as industry advocacy and development.

PPA is also responsible for educating the public and promoting awareness on PRS as well as serves as a one-stop resource centre for the PRS industry and PRS members in Malaysia.

Besides providing life-time central account management, facilitating transactions and promoting efficient administration to help account holders monitor their PRS Funds, PPA also operates a call centre to handle enquiries on PRS.

Private Retirement Schemes (PRS)

The Private Retirement Scheme is a voluntary long-term investment designed to help individuals to increase their retirement savings beyond their EPF savings. The PRS forms an integral part of the third-pillar of Malaysia’s multi-pillar pension framework. PRS is mooted as part of the Economic Transformation Programme, under Entry Point Project 6 to accelerate growth of the private pension industry and to align existing pension systems with demographics and socioeconomic changes.

PRS seeks to enhance choices available for all Malaysians, whether employed or self-employed, to voluntarily supplement their retirement savings under a well-structured and regulated environment. Each PRS offers a choice of retirement funds from which individuals may choose to invest in based on their own retirement needs, goals and risk appetite.

Eligible Age for PRS contributions
Age 18 and above

PRS Incentives

  1. PRS Youth Incentive
    Malaysians aged between 20 -30 years will get government one-off incentive of RM500 (in units) with minimum RM1, 000 PRS contribution in a calendar year.

  2. Tax Relief
    Working adults get an individual tax relief of up to RM3,000 for PRS contributions (assessment year 2012 to 2021)

Where Do I Invest?

  Conventional Shariah Total*
Schemes 8 3 11
Funds 27 17 44

(* Note: As of July 2014)

No. of PRS Providers

  1. AIA Pension and Asset Management Sdn Bhd
  2. AmInvestment Management Sdn Bhd
  3. CIMB-Principal Asset Management Berhad
  4. Hwang Investment Management Berhad
  5. Kenanga Investors Berhad
  6. Manulife Asset Management Services Berhad
  7. Public Mutual Berhad
  8. RHB Asset Management Sdn Bhd (formerly known as RHB Investment Management Sdn Bhd)

How to join the PRS?
Step 1: Choose a PRS Provider
Step 2: Talk to the PRS Provider and choose a fund that you are interested in
Step 3: Complete the relevant forms
Step 4: The PRS Consultant will assist you with opening your PRS account with PRS Provider and also your PPA account