OCTAGON AFRICA CELEBRATES 18 YEARS OF CHANGING LIVES THROUGH FINANCIAL EMPOWERMENT

Octagon Africa Financial Services Limited, a leading financial services provider in East and Southern Africa, celebrates a major milestone today, 18 years of transforming lives through innovative and inclusive pension, insurance, actuarial and training solutions.

Established in 2007, Octagon Africa now operates in Kenya, Uganda and Zambia, with strategic plans to expand across the African continent.

In partnership with Alexforbes Financial Services Limited, a renowned South African financial services provider, Octagon Africa has built a solid reputation for reliability, expertise and client-centric service. The company’s success is anchored in long-term relationships and forward-thinking financial solutions.

‘Celebrating 18 years is not just a milestone but a testament to the lives we have touched, the futures we have secured and the trust we have earned,’ says Fred Waswa, Group CEO of Octagon Africa.

‘We are proud to have played a part in redefining financial security for thousands of individuals and organisations across Africa. Our journey has been more than just business, it is about impact, dignity in retirement and peace of mind.’

At the heart of Octagon Africa’s retirement offering is the Octagon Umbrella Retirement Benefit Scheme (OURBS), a revolutionary pension solution designed for small and medium enterprises (SMEs) and organisations seeking affordable, high-performing and flexible retirement plans.

Registered by the Retirement Benefits Authority (RBA) in 2014, the umbrella scheme delivered an impressive return of 13.8% for the year ending 31 December 2024. Structured as a defined contribution fund, it combines pension and provident fund features for enhanced flexibility and security.

Unlike traditional pension schemes, the umbrella model allows even small businesses, with as few as three employees, to provide retirement benefits without needing to establish their standalone fund. Each participating employer signs a deed of adherence with customised rules, ensuring governance aligned with their organisation’s needs while benefitting from pooled investment efficiencies.

In line with Kenya’s evolving pension framework, the scheme accommodates employers seeking to contract out of NSSF Tier II contributions, in full compliance with the RBA’s requirements. This structure allows employers to redirect Tier II contributions to the umbrella scheme, enabling employees to access potentially higher returns and more tailored benefits.

This arrangement allows employers to meet their statutory obligations under the NSSF Act 2013 while unlocking added value through:

· Customised investment strategies

· Bundled insurance products

· Lower administrative costs

By partnering with Octagon Africa, employers benefit from a compliant, high-performance alternative that enhances employee benefits while maintaining flexibility and control.

The scheme offers members the freedom to choose an investment portfolio that suits their life stage (aggressive, balanced or conservative), customise trust rules and access a wide range of negotiated insurance benefits, making it an inclusive solution for today’s dynamic work environment.

A retirement benefits scheme is more than just a financial product; it is deferred income that honours the contribution of employees and ensures dignity in their later years. Benefits can be accessed upon retirement, resignation, ill health or emigration, providing vital financial support to members and their families.

The scheme offers value on multiple fronts:

· For employees: a stable income in retirement, tax benefits, financial literacy support and protection for nominated beneficiaries.

· For employers: improved staff morale, enhanced retention and recruitment, increased productivity and more tax-efficient compensation planning.

Assets under the scheme are managed using a multimanager strategy across three risk profiles, Aggressive, Balanced and Conservative, to ensure diversification and strong risk-adjusted performance. Investment decisions follow a robust policy framework reviewed every three years, with ongoing performance assessments of fund managers.

‘We do not just administer funds; we manage futures,’ Waswa adds. ‘We have built an ecosystem that integrates technology, client education and investment expertise to empower members at every life stage.’

The scheme is managed independently under an irrevocable trust structure, ensuring separation from sponsor assets and full compliance with regulatory requirements from both the RBA and KRA. Oversight is provided by an independent corporate trustee, ensuring transparency and accountability.

As Octagon Africa marks this 18-year milestone, it remains committed to expanding access to financial empowerment across Africa. Strategic partnerships, digital innovation and product evolution are key pillars of its growth ambitions.

‘Our ambition is Pan-African, but our impact is deeply personal. We’re building not just better pensions but better lives,’ concludes Waswa.