Challenges and possible solutions
The retirement fund industry consists of various types of funds – mainly stand-alone funds and umbrella funds. A stand-alone fund caters for members of a particular participating employer, whereas an umbrella fund (as the name suggests) caters for a collective group of members who are from different participating employers but are serviced under one fund.
There are also two types of umbrella funds, each with characteristics that distinguish one from the other. An industry fund is a retirement fund that is similar to an umbrella fund but which serves employees of a specific industry or sector.