EPF Historical Returns & Performance

EPF historical returns data since inception in 1952, current investments overview, dividend calculation, and future performance estimates. Now including EPF Simpanan Shariah returns.

Updated: Apr 2, 2018

EPF Historical Performance

 

How did EPF perform in 2017

  • EPF now manages two saving schemes with two dividend rates.
  • EPF Conventional Savings: 2017 dividends of 6.90% with payout of RM44.15b.
  • EPF Simpanan Shariah: 2017 dividends of 6.40% with payout of RM3.98b.
  • Returns of EPF Conventional higher with outperformance of global banking stocks, and EPF Shariah impairments from oil and gas, and telecommunication counters.
  • Returns between EPF Conventional and Shariah will deviate in short term but long-term returns expected to be similar.
  • Payout increase up 29.8%.
  • Highest ever gross investment income of RM53.14b.
  • Cost to AUM (asset under management) increased to 0.26% (2016: 0.25%).
  • Cost to gross income down to 2.53% (2016: 2.56%).
  • Cot to total asset up to 0.17% (2016: 0.16%).
  • EPF overseas exposure: 28%.

 

EPFs Investments Income Contribution

  • Equities (Shares) Investment: 42.23% (31.47b)
  • Malaysian Government Securities & Equivalent and Loans & Bonds: 32.84% (17.45b)
  • Real Estate & Infrastructure: 5.59% (2.97b)
  • Money Market Instruments: 2.33% (1.24b)
  • Total Investment Income: 53.14b

 

EPF Top 30 Equity Holdings

No. Share % Holding
1 Malaysia Building Society Bhd 65.56%
2 RHB Bank Bhd 40.70%
3 Malaysian Resources Corporation Bhd 34.90%
4 Telekom Malaysia Bhd 18.04%
5 Axiata Group Bhd 16.28%
6 Digi.com Bhd 15.37%
7 Genting Plantations Bhd 15.33%
8 MBM Resources Bhd 15.08%
9 Public Bank Bhd 14.76%
10 CIMB Group Holdings Bhd 14.40%
11 IJM Corporation Bhd 14.38%
12 United Plantations Bhd 14.34%
13 IJM Plantations Bhd 14.24%
14 Sunway Reit Bhd 14.12%
15 Axis Real Estate Investment Bhd 14.03%
16 Bermaz Auto Bhd 13.58%
17 Media Prima Bhd 13.35%
18 BIMB Holdings Bhd 12.72%
19 KPJ Healthcare Bhd 12.65%
20 Hong Leong Bank Bhd 12.51%
21 Malayan Banking Bhd 12.46%
22 Fraser & Neave Holdings Bhd 12.30%
23 Syarikat Takaful Malaysia Bhd 12.29%
24 Cahya Mata Sarawak Bhd 12.26%
25 Sime Darby Plantation Bhd 12.02%
26 Kuala Lumpur Kepong Bhd 12.01%
27 Alliance Bank Malaysia Bhd 11.97%
28 Tenaga Nasional Bhd 11.91%
29 Gamuda Bhd 11.83%
30 Yinson Holdings Bhd 11.73%

 

How will EPF perform in 2018?

EPF faces a challenging task ahead to achieve returns. For 2017, RM7.02b (up from RM6.50b) was needed for every 1% dividend rate (3x increase from a decade ago). Also to be seen EPFs overseas emerging markets investment performance. Overall market performance in 2018 is expected to be poorer than 2017’s performance.

 

How are EPF Dividends Calculated?

In order to determine the dividend rate, factors that need to be taken into consideration include net income and total for 1% dividend at year-end.

For example:
Dividend Rate = Net income (a) x 1% Total for a 1% dividend (b)

Investment income + Non-investment income – Expenses
Total for a 1% dividend is based on:
Opening balance of contribution (after withdrawal) that obtain dividend for a 12-month period, and
Monthly contribution that obtain pro rated dividend i.e. dividend for the n-month will get (12-n) month dividend. For example, the September contribution (n=9) will obtain a 3 months dividend.

Simplified explanation

  • Your balance from previous year will be given full % dividend
  • Your contributions in the current year will be given prorated based on N months. For example:-
    • January: 11/12 mths
    • February: 10/12 mths
  • If you make an EPF withdrawal, the dividends would be pro-rated on daily rest
  • If you make a full withdrawal from EPF, you will receive 2.5% for the withdrawal. The remainder returns (if any) will be given after next EPF returns declaration.

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