Moving Your Retirement Savings to the Allan Gray Umbrella Fund
This article explains how you can move money from a Pension Fund or a Provident Fund or Pension / Provident Preservation Fund into the Allan Gray Umbrella Fund.
1. What is the Allan Gray Umbrella Fund?
The Allan Gray Umbrella Retirement Fund lets many employers place their staff in one well-run, low-cost retirement fund. Allan Gray handles the admin, offers clear investment choices and keeps fees simple.
2. Why might you transfer?
Benefit | Why it matters |
|---|---|
Lower costs | Large umbrella funds often pay lower admin and investment fees. |
One view of all your money | Having everything in one place makes planning easier. |
Flexible investment options | You can switch between Allan Gray’s approved unit-trust portfolios as your needs change. |
Strong governance | Independent trustees oversee the fund and protect members’ interests. |
3. Which savings can be moved?
You may transfer:
Pension Fund savings
Pension Preservation Fund savings
Provident Fund savings
Provident Preservation Fund savings
Transfers are tax-free if the money goes straight from one registered retirement fund to another.
Please note that it is not possible to transfer funds from a Retirement Annuity to a Pension or Provident Umbrella Fund.
4. The legal rule – Section 14 of the Pension Funds Act
A “Section 14 transfer” is the official process for moving retirement money from one fund to another. There are two routes:
Section 14(1) – documents go to the Financial Sector Conduct Authority (FSCA) for approval. This can take six months or longer.
Section 14(8) – smaller transfers may skip FSCA approval. These usually take about four months or longer.
From 1 September 2024 the new two-pot system means transfer forms must show how much sits in your Vested, Savings and Retirement components. The FSCA updated its Conduct Standard in March 2025 to reflect this.
5. Step-by-step transfer guide
Please complete the Umbrella Retirement Fund Transfer Instruction and submit this to support@wealthup.co.za with the documentation noted in section 6 below.
6. Documents you will need
Certified copy of your ID
Latest benefit statement from the transferring fund
Signed Allan Gray Umbrella Fund Transfer Instruction
Proof of bank details (for identity verification)
Tax number
7. Costs and fees to expect
Transfer cost: The move itself is tax-free. Some RAs may charge an early-exit fee—ask your current provider.
8. Frequently asked questions
Question | Short answer |
|---|---|
Do I pay tax when I transfer? | No. Section 14 transfers are tax-neutral if the money goes straight to another SA retirement fund. |
Can I take cash during the transfer? | No. The full amount must move across and stay preserved until a valid withdrawal or retirement event. |
Can I add new contributions? | Your employer will keep paying contributions as normal once the new scheme is live. |
How do the two pots affect me? | After 1 Sept 2024, one-third of new contributions goes to a Savings Pot (you may access in limited cases) and two-thirds to a Retirement Pot. Your older money sits in the Vested Pot. Transfers must show each piece separately. |
9. Key terms
Section 14 transfer – A regulated move of retirement money from one fund to another, overseen by the FSCA.
Umbrella fund – A single retirement fund that many employers can join, sharing costs and governance.
Two-pot system – New rules (from 1 Sept 2024) that split contributions into Savings, Retirement and Vested parts.
Take-away
Moving your retirement savings to the Allan Gray Umbrella Fund can lower fees, simplify your finances and give you more control over investments. The process is tightly regulated but, with the right paperwork and patience, it is straightforward. If you have questions, speak to your financial adviser or contact Allan Gray’s client service team.