Kumpulan Wang Persaraan Diperbadankan (KWAP) is responsible in taking care of our pensioners.
KWAP will always make sure that our retirees will always have enough pension money every month.
How does KWAP do it?
How does KWAP affect the rakyat?
Let us take a look.

What is KWAP’s function?
Malaysia has some 1.6 million government servants in the civil service such as clerks, officers, director- generals, teachers, ministers, policmen and countless others.
Every year, hundreds or even thousands of government servants retire and no longer work in government.
However, the pension money is limited and can finish if not properly managed.
This is why the government has set up KWAP.
KWAP is responsibe in safeguarding, investing and distributing the pension.
So KWAP’s function is to take care of the welfare of the government servants after they retire.

KWAP needs to be financially strong
Every year, thousands of government servants retire.
The government had set up KWAP to ensure they all have enough retirement money.
The government has allocated some money for KWAP but it is not enough.
But to ensure that KWAP has enough money to pay the pension, the fund manager has to invest to make more money.
How can KWAP make money?
KWAP can make money by investing in the stock market or property or other business ventures.
The money that they make is then paid to the pensioners every month.

KWAP needs to invest to sustain
However, KWAP cannot sustain financially to pay the pension forever.
The government will not have enough money to give to KWAP.
So KWAP must invest to grow its assets because if it does not invest the money, it will not be able to survive.
KWAP must invest in strong emerging economies such as China or the US.
In this way, KWAP will be able to sustain and pay out the monthly pension.

However, the investment climate in Malaysia is slow
In an interview with Reuters on November 16, KWAP chief executive officer Datuk Wan Kamaruzaman Wan Ahmad said the investment climate in Malaysia is slow.
Thus the fund manager need to increase it overseas investments.
This include investing in Uber Technologies in the US.
This investment is good as Uber is a fast growing ride sharing facility.
With more and more people using Uber, the profit will also increase.
Since KWAP is a shareholder, it will get a slice of the pie.
The returns from the slice of profit can be used to pay the retirees monthly pension.

KWAP will play its role to support the economy
KWAP has over RM130 billion in funds and it will continue to play its role to support the economy.
Datuk Wan Kamaruzaman said this include buying shares in Uber and plans to buy stakes in foreign insurance companies such as Great Eastern Life Assurance Company and Prudential PLC.
KWAP is also planning to work together with the world’s largest e-commerce firm Ali Baba Group.
All this activity will generate growth for the fund and help make the economy active.
An active economy will prosper the country and its people.

How can the rakyat benefit from KWAP
KWAP is a major investor in the stock market.
KWAP will buy shares in companies.
So some of these companies are partly owned by KWAP.
So when the companies make a profit, some of it will go to KWAP.
KWAP will then give some of the profit back to the rakyat through the pension payment.

KWAP donates some of its profit to the rakyat
KWAP will also help the rakyat by donating some of its profit to the rakyat.
On November 24, KWAP donated RM50,000 to help flood victims.
KWAP donated to the NSTP-Media Prima Disaster Fund to assist those affected by the recent floods in Penang.
This is very noble of KWAP to help lift the burden of flood victims who are struggling to rebuild their lives after the tragedy.

KWAP will always play a prominent role to champion the rakyat
KWAP along with Petronas, Tabung Haji, the Employees Provident Fund and others to name a few will always be at the forefront to champion the rakyat.
With these institutions spearheading the country, the rakyat’s welfare will always be looked after to ensure the rakyat have a prosperous and comfortable life.


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