Voluntary Participation (IPS) Auto Enrollment System (AES) Funds Legislation Data Center

Pension Fund Trading Platform (BEFAS)


If a future value-dated fund is preferred in any transaction (contribution collection, additional benefit payment, use of right to change fund distribution, fine payment, etc.) that requires the purchasing of funds in the individual pension system, the savings are invested in a transition fund called the escrow until the fund(s) preferred by the participants is/are purchased. This application will not be performed, if future value-dated funds are preferred while a fund transaction is occurring via BEFAS.

The example provided in the table demonstrates a transaction that requires purchasing funds on July 26, 2021, for contracts that do not prefer funds under BEFAS. In this case, the money market fund is purchased on the same day and, on July 27, 2021, this fund is sold to facilitate the purchase of the preferred fund(s).

For contracts that prefer funds under BEFAS, in case of a transaction that requires the purchasing of funds on July 26, 2021, your preferred fund(s) is/are purchased on July 27, 2021, without purchasing the money market fund.