My take on EPF contributors' situation while they are members

EPF lost RM203m from FGV stock investments

Read the article in Malaysiakini: https://www.malaysiakini.com/news/377857

My comment in Facebook on Feb 20, 2017 over EPF's book loss:

Recent accounts show > Rm8 billions book loss in share investments. Meant for long term investments, recent divestment in FGV shares shows the high risks, especially those based on political decisions rather than guided by strict guidelines as trustees of public funds. As long as EPF is able to maintain decent annual dividends and its total assets exceed total contributions, it can still get away with unwise investments and loans to unreliable entities. To the individual contributor, he or she is concerned with security of contributions. Whether EPF makes tons of money or book losses will not affect him or her, as it will be carried forward annually and indefinitely. The real problem will only arise when it is insolvent and unable to meet demands for withdrawals by all contributors. Meantime, government of the day has leeway to manipulate when necessary.

To the average contributors, whether EPF made lots more money will not affect them, unless and until it decides to liquidate the fund and distribute to all contributors, which is so unlikely. If they are lucky, they get higher dividends over the years as members. Contributors come and go: as first time members until final withdrawals from the balances due to them.

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