EPF delivered a stronger investment performance for the third quarter of 2025, giving a welcome boost to the retirement savings of more than 16 million Malaysians. Although the results reflect a healthy period for the fund, EPF has also cautioned that the final quarter of the year may not produce the same momentum. 

For everyday Malaysians, the combination of strong gains and a cautious outlook carries real implications for long-term financial security and the value of future dividends.

Global Market Strength Supports EPF Income

For the quarter ending 30 September, EPF earned RM25.07 billion from its investments. This is a 27% increase compared to the same period last year. The growth happened mainly because global share markets performed well, which allowed EPF fund managers to lock in profits while prices were strong.

Foreign investments continued to be important and made up more than half of EPF’s income for the quarter. EPF invests a significant portion of members’ money overseas in well-established companies and industries. This spread across different countries helps protect members’ savings if the Malaysian economy slows down or faces uncertainty.

Shares in companies, both Malaysian and international, remained the largest source of EPF’s returns. A total of 68% of its quarterly income came from these share investments. EPF also holds major stakes in several well-known Malaysian companies, which helps these businesses grow while providing steady long-term returns for members.

EPF also invests in fixed income assets such as government and corporate bonds, which contributed 27% of the income. These investments pay regular interest and help balance out the ups and downs of the share market. The rest of EPF’s income came from real estate, infrastructure and money market investments.

A More Cautious Outlook For The Final Quarter

Despite the strong gains, EPF chief executive officer Ahmad Zulqarnain Onn said the final quarter of the year may not be as positive. Share prices around the world have risen quickly, which makes it harder for EPF to find new investments at reasonable prices. At the same time, global economic signals are mixed, and this may affect how fast major countries change their interest rates.

EPF has already secured some profits to protect the gains made earlier in the year. However, Ahmad noted that repeating the strong results of the third quarter may be difficult. This does not mean EPF expects a weak performance, but it reflects a more realistic view that markets have cooled down after a period of rapid growth.

What These Developments Mean For Malaysians And Their Wallets

Quarterly results are important, but the annual dividend is the figure that Malaysians watch most closely. A stronger third quarter supports the outlook for a stable dividend, yet EPF’s more cautious stance suggests that members should remain measured in their expectations. The final dividend will reflect the fund’s performance across the entire year, not just one standout quarter.

For Malaysian savers, EPF’s results translate into real-world effects on personal finances. A stronger EPF performance supports the growth of long-term retirement savings, which can reduce the pressure on individuals to save aggressively through other means. When EPF performs well, the compounding effect over a working lifetime can be substantial, helping Malaysians better prepare for rising living costs in the future.

However, the cautious outlook highlights the importance of not relying solely on EPF dividends. As global markets grow more unpredictable, Malaysians may need to review their own financial habits, including how much they save and how they manage existing commitments such as personal loans, mortgages or education expenses. A stable EPF dividend can support long-term security, but short-term financial planning still depends on how individuals budget, save and manage cash flow.

A solid EPF performance can also support broader confidence in the Malaysian economy. EPF’s significant holdings in local companies help stabilise the market. As the fund continues to invest in Malaysian businesses, it supports corporate growth and job creation, which in turn influences household income and overall economic resilience.

Membership Growth Reflects Changing Workforce Dynamics

Over the first nine months of the year, EPF generated RM63.99 billion in investment income, which represents an 11% increase from the same period in 2024. The fund’s total assets have grown to RM1.37 trillion, reinforcing its role as one of the world’s largest retirement savings institutions.

EPF added more than 427,000 new contributors during the period, bringing total membership to over 16.5 million. More than nine million members are active contributors, which accounts for roughly half of the national workforce. The number of active employers rose to 628,321. These figures reflect a growing base of contributors and reaffirm EPF’s central role in the financial well-being of Malaysians.

How Malaysians Should Interpret These Signals

The latest developments suggest that EPF remains on a solid footing, with strong long-term capabilities to safeguard retirement savings. At the same time, the fund’s caution about the final quarter signals that markets are entering a more balanced phase, where returns may be steadier rather than exceptionally high.

For Malaysians, the key message is that long-term security remains intact, but expectations for dividends should be grounded in the full-year picture. Strong performance helps strengthen future retirement outcomes, yet immediate financial well-being still depends on careful budgeting, consistent contributions and realistic expectations. EPF continues to provide stability at a time when global markets are shifting, and this remains reassuring for millions of members who depend on the fund for their long-term financial future.

Follow us on our official WhatsApp channel for the latest money tips and updates.