Versa app has been updated to include a brand new product called VersaPRS. As the name suggests, Versa PRS taps into 7 PRS (Private Retirement Scheme) funds managed by Aham Capital (formerly AffinHwang Investment). The various funds offerred caters to investors with preferences and risk appetite.
Private Retirement Scheme (PRS) is an investment scheme that facilitates the accumulation of retirement savings through voluntary contributions. It is designed to complement the Employees Provident Fund (EPF) and is regulated by Securities Commission Malaysia (SC).
Tax payers who participate in PRS can claim up to RM3,000 in income tax relief annually. The Versa platform does not charge any fees to their user. However, there are management fees, trustee fees and fund-level fees paid to the fund managers, which differs based on the portfolios.
Do note that under PRS, deposits will be divided into Account A and Account B. For Account A, cash outs can only be made upon reaching the retirement age (eg 55) specified by the PRS provider. As for Account B, cash outs can be done once per calendar year but is subjected to a tax penalty of 8%. PRS is something like EPF (Employees Provident Fund) but is supported by the private unit trust fund companies in Malaysia.
PRS is a good option if you have spare cash sitting around and you have no intention to use it anytime soon. Just note that withdrawing the PRS cash before retirement age incurs penalty as there is annual tax relief.
All purchased Aham PRS funds purchased via VersaPRS can also be monitor at Aham asset management's online portal iAccess. Sign up to iAccess can be done online without going to any Aham offices.
