MILLIONS of Malaysians found themselves stuck on a digital waitlist as half the country tried to log into the i-Akaun app at once.
Once the screen finally reveals the 6.15% dividend for 2025, the reaction is almost always the same – the rakyat begins the comparison game in person, in WhatsApp groups, and on social media.
“Why is it slightly lower than last year’s 6.3%?” some may grumble.
This is hardly surprising. With the price of groceries rising and school fees looming, it is human nature to want that decimal point to move up.
However, in the world of high-stakes investing, comparison is often the thief of common sense.
If people focus only on short-term comparisons, they risk missing the much bigger story of how Malaysians’ money is being protected over the long term.
To understand the 6.15% figure, one must look past the immediate year-on-year dip.
While 6.3% was a high-water mark for 2024, a 6.15% return remains remarkably strong when measured against the fund’s historical performance.
Over the last decade, the EPF has consistently delivered averages that significantly outpaced inflation.
By this metric, 2025 should not be viewed as a “down year.” Instead, it is a year where the fund outperformed its own long-term benchmarks.
Viewing dividends through
a single-year lens treats the
EPF like a year-end bonus cheque. In reality, it is a compounding engine.
Warren Buffett famously described his financial success by saying: “My life has been a product of compound interest. Nothing more. Nothing less. And nothing brilliant.”
He emphasised that building wealth is like “rolling a snowball down a very long hill,” highlighting the importance of starting early, being patient, and allowing time to grow returns.
In the EPF’s dividend context, the difference of 0.15% matters far less to a retiree than the fund’s ability to remain resilient and stable for 30 consecutive years.
This consistency becomes even more impressive when viewed in context.
The EPF has weathered a decade of unprecedented shocks, from tariff disputes between global powers to the massive liquidity stress of the pandemic years.
Despite these cycles, the fund’s investment assets grew to a staggering RM1,409 billion by the end of 2025.
This growth, driven by a 9.5% increase in distributable income, demonstrates a shock-absorber effect.
When the Ringgit strengthened by over 10% against the US Dollar, which naturally reduces the value of overseas returns, the EPF’s domestic holdings and fixed-income anchors (predominantly Malaysian Government Securities) helped stabilise the portfolio.
It demonstrates that the objective is not to maximise one year’s dividend by taking excessive risks, but to ensure the fund does not over-leverage itself during the “good times.”
Furthermore, the EPF’s ability to match dividend rates for both its Simpanan Konvensional and Simpanan Shariah accounts for the second consecutive year is a notable achievement.
These two funds invest in different asset classes. Simpanan Shariah savings, for instance, cannot invest in certain global stocks available to the conventional fund.
In simpler terms, having two different engines running on different fuels yet achieving identical net returns reflects strong fund management.
It indicates that Malaysians’ futures are being safeguarded with the same level of discipline, no matter which account type they possess.
EPF Chairman Tan Sri Mohd Zuki Ali noted that 2025 was a “volatile year.”
Yet, the fund delivered a total payout of RM79.6 billion, the highest in its history by value.
This reinforces the point that a sustainable percentage on a much larger pool of capital results in more actual wealth for the rakyat than ever before.
“Our diversified portfolio across asset classes and markets, guided by our Strategic Asset Allocation, has enabled us to navigate market volatility that peaked in the second quarter following the announcement of reciprocal import tariffs by the United States.
“While market cycles may bring short-term volatility, disciplined risk management with a long-term investment strategy remains key to sustaining resilience and delivering consistent returns for members,” said Mohd Zuki.
Whether navigating a 5.2% expansion in the local economy or a strengthening Ringgit, the fund has consistently delivered competitive returns across different economic cycles.
Noting that the EPF will continue to prioritise sustainability, Mohd Zuki added that the fund operates with a multi-year investment horizon, focused on sustainable returns allow members to benefit from compounding.
Over the last decade, the fund has weathered pandemics, political shifts, and global trade wars, yet it remains the steady anchor of Malaysia’s social protection.
