Fairheads beneficiary fund business not sold to Old Mutual

17 September 2013 Richard Krepelka, Fairheads
Richard Krepelka, CEO of Fairheads Benefit Services.

Richard Krepelka, CEO of Fairheads Benefit Services.

The Fairheads Group was historically made up of two components, Fairheads Benefit Services and Fairheads Trust. Old Mutual Wealth has recently announced its acquisition of the Fairheads Trust Company – while the Fairheads Benefit Services subsidiary remai

Fairheads Trust provides fiduciary services to high-net-worth individuals and was the niched private client part of the Fairheads Group which had for many years operated separately from Fairheads Benefit Services. It will continue to do so, but within the Old Mutual Wealth business.

”Fairheads Benefit Services, on the other hand, continues to be part of the Fairheads Group,” says Richard Krepelka, CEO of Fairheads Benefit Services. It is Southern Africa’s leading independent service provider of beneficiary funds and umbrella trusts. Fairheads Benefit Services retains its branding and trademark.

Beneficiary funds and their predecessor umbrella trusts, receive lump-sum death benefits which are managed by section 13B administrators such as Fairheads Benefit Services for the benefit of minor children of deceased pension fund members. The industry is valued at over R19 billion and serves an important social role in helping guardians to pay for subsistence and education expenses until children reach age 18 when the remaining capital is paid out to them. (See notes below).

Fairheads Benefit Services has led the market in grassroots communication, currently undertaking an educational roadshow for the third year across 30 venues in Southern Africa. The aim is to explain how beneficiary funds operate, including the need to draw up a household budget. In the process, says Mr Krepelka, the company is helping to lift the levels of financial literacy in the country.

Quick Polls


In terms of vicarious liability, damages should not be borne by companies in all conditions, but only in those circumstances which it is reasonable for them to do so. Do you agree?


Yes, damages should only be borne by companies in those circumstances which it is reasonable for them to do so.
No. If there is a sufficiently close link between the employee’s acts and the purposes and business of the employer, the employer should be held liable for delicts committed by their employees.
As long as the employee is acting within the course and scope of his or her duty… the employer will be held liable.
A E fanews magazine
FAnews October 2019 Get the latest issue of FAnews

This month's headlines

Non-disclosure - a question of fairness
Level of insurance regulation notably tightened
The cost of treating cancer
Employee Benefits… an untapped opportunity
Bound to NHI… whether you like it or not
A stormier world for marine insurers
Examining the application of reinstatement clauses
Subscribe now