By Victor Ahiuma-Young

The National Pension Commission (PenCom) has introduced stricter advertising rules for Pension Fund Administrators, PFAs, warning operators against false claims, misleading promotions, and deceptive marketing practices in the pension industry.

Under a new circular issued by the Commission through its Director, Surveillance Department, A. M. Saleem, PFAs will no longer be required to obtain prior approval before releasing advertisement and media campaign materials. 

In a new directive that takes immediate effect, the Commission stressed that all promotional contents must comply with strict standards of accuracy, truthfulness, and regulatory compliance.

PenCom explained that the move was aimed at improving operational efficiency, reducing bureaucratic delays, and enabling PFAs to disseminate information to potential clients more quickly.

Despite relaxing the approval process, the Commission warned that advertisements containing exaggerated claims, unverifiable data, unauthorised endorsements, or misleading disclosures would attract sanctions.

The regulator specifically prohibited inducement-based promotions such as lotteries, prize draws, and other chance-based incentives designed to lure pension contributors or retirees.

According to the circular, all advertising materials must be factual, verifiable, and free from offensive, discriminatory, or manipulative content.

PFAs are also required to ensure that all campaigns comply with the Pension Reform Act 2014, consumer protection regulations, and the Nigeria Data Protection Act (NDPA) 2023.

The Commission further directed PFAs to register slogans, taglines, and promotional phrases with the Trademarks Registry before deployment, warning that no operator should imitate or reproduce another firm’s registered trademark or slogan.

PenCom stated that although PFAs may engage agents, consultants, influencers, and media agencies, they would remain fully responsible for all advertisements issued on their behalf.

The circular maintained that the Commission reserves the right to order the immediate withdrawal, suspension, or modification of any advertisement found to be in breach of the guidelines.

It also warned that PFAs could be compelled to issue corrective publications or clarifications where misleading information had already been disseminated to the public. PenCom said follow-up reviews would be conducted regularly, while offenders would face sanctions in line with the Pension Reform Act 2014 and the Commission’s existing sanctions regime.