NAIROBI, Kenya, July 19 – Octagon Africa Financial Services plans to expand its footprint across Africa, as demand grows for flexible, affordable, and professionally managed retirement schemes in the region.
Established in 2007, the financial services firm operates in Kenya, Uganda, and Zambia, offering pension, insurance, actuarial, and training services to both corporate and individual clients.
Its umbrella pension scheme, the Octagon Umbrella Retirement Benefits Scheme (OURBS), has emerged as a flagship product tailored to the needs of small and medium enterprises (SMEs) and organisations seeking cost-effective retirement solutions.
Registered with Kenya’s Retirement Benefits Authority (RBA) in 2014, OURBS delivered a 13.8 percent return in 2024, according to the firm.
The scheme is designed to serve even small businesses with as few as three employees, without requiring them to set up their own standalone pension funds.
“Our umbrella scheme pools together smaller employers, allowing them to benefit from economies of scale, customised investment strategies, and reduced administrative costs,” said Fred Waswa, Group CEO of Octagon Africa.
The scheme is also compliant with the NSSF Act 2013, allowing employers to contract out of Tier II contributions and redirect those to OURBS.
This move offers employers an alternative route to meeting their statutory pension obligations while providing potentially higher returns and tailored benefits to employees.
Members of the scheme can select portfolios based on their risk appetite—aggressive, balanced, or conservative—while also accessing additional services such as bundled insurance and financial education.
The fund is managed under a multi-manager strategy with ongoing performance monitoring, governed by a policy framework reviewed every three years.
Assets under the scheme are held under an irrevocable trust, separate from the firm’s own assets, with oversight provided by an independent corporate trustee.
This structure ensures regulatory compliance with both the RBA and the Kenya Revenue Authority (KRA), and enhances transparency.
Beyond Kenya, Octagon Africa has partnered with South Africa’s Alexforbes Financial Services Limited and says it is positioning itself to serve a broader African clientele amid rising interest in pension-backed financial products across the continent.
Waswa said the firm’s regional growth strategy will focus on forming more partnerships, digital innovations, and customisable financial products that meet the evolving needs of Africa’s growing workforce.
“Retirement schemes are more than financial instruments—they are income protection tools that recognise the contribution of workers long after they leave active service,” he said.
