The Employees Provident Fund (EPF) has declared a dividend rate of 6.30% for both Simpanan Konvensional and Simpanan Shariah for the financial year ended 31 December 2024, marking the highest payout since 2017. The total distribution amounts to RM73.24 billion, with RM63.05 billion allocated for Simpanan Konvensional and RM10.19 billion for Simpanan Shariah.

EPF’s total investment income rose to RM74.46 billion, an increase of 11% from RM66.99 billion in 2023, after accounting for listed equity write-downs. Investment assets expanded by 10% to RM1,249.71 billion, compared to RM1,135.82 billion in the previous year. This growth was supported by portfolio income and net contributions of RM108.22 billion, up 11% from RM97.56 billion in 2023.

EPF Chairman, Tan Sri Mohd Zuki Ali, said that the fund’s performance was supported by improving global and domestic markets, stable economic conditions, and prudent portfolio management. “EPF is pleased to announce higher dividends for 2024, driven by recovering global and domestic markets, resilient economic growth, and sound portfolio management. Our diversified investment strategy allowed us to capitalise on growth opportunities, optimise returns, and reinforce the long-term financial security of our members,” he said.

He also noted that domestic factors had played a role in supporting investment returns. “Domestically, strong investments, a healthy labour market, and stable inflation boosted demand, while exports benefited from global stability and the tech upcycle. Under the leadership of YAB Prime Minister Dato’ Seri Anwar Ibrahim, government initiatives under Budget 2024 and strategic plans under the Ekonomi MADANI framework have attracted foreign investments, creating a supportive environment for economic growth,” he added.

Malaysia’s economy recorded a growth of 5.1% in 2024, up from 3.6% in 2023. The stock market showed a notable recovery, with the FTSE Bursa Malaysia KLCI (FBM KLCI) rising by 12.9%, compared to a 2.7% decline in the previous year. The index peaked at 1,678.80 points in August, its highest level since December 2020.

Global economic conditions remained mixed, as central banks maintained relatively high interest rates to address inflationary pressures. While higher rates affected equity valuations, they also created investment opportunities in fixed-income assets, contributing to a more balanced impact across financial markets.

Tan Sri Mohd Zuki highlighted the importance of the EPF’s Strategic Asset Allocation (SAA) in ensuring stability amid market fluctuations. “The SAA has been pivotal in maintaining steady portfolio performance, ensuring the long-term resilience of the EPF’s investment portfolio. By balancing risk and return, this approach not only safeguards the fund against market uncertainties but also supports sustainable dividend payouts for our members,” he said.

With the economic recovery, steady market performance, and a disciplined investment approach, EPF remains committed to ensuring sustainable returns for its members. The 6.30% dividend rate for 2024 reflects the fund’s efforts in managing investments prudently while continuing to safeguard the retirement savings of Malaysians.

(Source: EPF)

• TAGS:
• Employees Provident Fund (EPF)
• Employees’ Provident Fund
• EPF
• EPF Dividend 2024
• EPF Dividends
• KWSP
• Tan Sri Mohd Zuki Al