EPF i-Invest: How to Invest Your EPF Savings in Unit Trusts

EPF i-Invest lets you move part of your Account 1 savings into approved unit trust funds — without withdrawing from EPF entirely. You keep your EPF membership, your employer contributions continue as normal, and the invested portion sits in funds you choose rather than earning the EPF dividend rate.

This guide covers the full process: who qualifies, how much you can invest, how to do it online, and what to consider before moving your retirement savings into market-exposed funds.

What You Need Before Starting#

Before you can use i-Invest, confirm you have these in place:

• Active EPF membership — you must be an EPF member (i-e-Akaun registered) with savings in Account 1
• Age requirement — you must be below 55 years old
• Savings above the Basic Savings threshold — only the amount exceeding your age-specific Basic Savings in Account 1 is eligible for investment (see the revised thresholds below)
• i-Akaun access — you need a registered i-Akaun (EPF's online portal) with a valid login. If you haven't activated yours, do that first at my.epf.gov.my

Basic Savings Threshold by Age — revised 1 January 2026#

The amount you must retain in Akaun Persaraan (Account 1) before you can invest the excess changed on 1 January 2026, when KWSP's Retirement Income Adequacy (RIA) framework took effect. The revised schedule is set so a member reaches RM390,000 in Basic Savings by age 60 — up from the previous benchmark of RM240,000 at age 55 — and the increase is phased in over five years, with the top of the schedule rising RM30,000 a year until 2030 (RM270,000 in 2026).

KWSP's public i-Invest page gives worked examples rather than the full age-by-age table, so this guide shows only the figures KWSP itself publishes:

Source: KWSP's i-Invest eligibility examples and RIA framework documents (kwsp.gov.my, retrieved 8 August 2026). The pre-2026 schedule that used to appear here (RM5,000 at 20 rising to RM240,000 at 55) is superseded — do not plan against it.

KWSP's own worked example: a 25-year-old with RM24,000 in Akaun Persaraan, against a Basic Savings of RM11,000, can invest (RM24,000 − RM11,000) × 30% = RM3,900. The minimum investment is RM1,000 — so a member only slightly above their threshold may still be unable to invest.

Because the schedule rises with age and steps upward each year to 2030, the only number worth planning against is the one i-Akaun shows you: log in, open i-Invest, and read your personal investable amount rather than estimating from any table.

How i-Invest Works — The Mechanics#

1. You choose a fund. EPF maintains a list of approved External Fund Managers (EFMs) and their approved unit trust funds. As of 2026, there are over 40 fund management institutions and several hundred approved funds — conventional and Shariah-compliant.

2. EPF transfers the money. When you place an investment via i-Akaun, EPF transfers the amount from your Account 1 directly to the selected fund manager. The money does not pass through your personal bank account.

3. Units are allocated. The fund manager allocates units in the chosen fund at the prevailing NAV (Net Asset Value) price on the transaction date.

4. Returns are market-dependent. Your investment returns depend entirely on the fund's performance. Unlike EPF's annual dividend (which has averaged around 5.9% p.a. for conventional over 2016–2025, with Simpanan Shariah matching it exactly in 2024 and 2025), unit trust returns can be higher, lower, or negative in any given year.

5. You can switch or redeem. You can switch between approved funds or redeem your units back into EPF Account 1 at any time (subject to the fund's redemption terms, typically T+3 to T+7 business days).

Step-by-Step: How to Invest via i-Invest#

Step 1 — Log in to i-Akaun#

Go to my.epf.gov.my and log in with your MyKad number and password. If you use the EPF mobile app (i-Akaun app), you can also access i-Invest from there.

Step 2 — Navigate to i-Invest#

From the dashboard, click "i-Invest" in the left sidebar or under the "Investment" section. The system will display your Account 1 balance, your Basic Savings requirement, and your investable amount (the difference).

Step 3 — Browse approved funds#

Click "View Fund List" to see all approved funds. You can filter by:

• Fund type: equity, balanced, fixed income, money market
• Shariah compliance: conventional or Shariah-compliant
• Fund manager: specific institutions (e.g., Public Mutual, Eastspring, AHAM Capital, Affin Hwang)
• Performance: historical 1-year, 3-year, 5-year returns

Each fund listing shows the management fee, fund factsheet link, and risk category (low, moderate, high).

Step 4 — Select a fund and enter the amount#

Click on the fund you want to invest in. Enter the investment amount — this must be within your investable limit. The minimum investment per transaction varies by fund manager but is typically RM1,000 for the initial investment and RM100 for subsequent top-ups.

Step 5 — Confirm the transaction#

Review the summary: fund name, amount, estimated units (based on the last available NAV), and the fund's sales charge (if any). Click "Confirm" to submit.

Step 6 — Wait for processing#

EPF processes the transfer to the fund manager. This typically takes 3 to 7 business days. You will receive a confirmation in your i-Akaun transaction history once units are allocated.

Fees and Charges#

i-Invest transactions may involve these fees:

Sales charge (upfront fee): Some funds charge 0% to 3% of the investment amount as a sales charge. Equity funds typically charge more than money market or fixed income funds. Some fund managers waive the sales charge for EPF i-Invest transactions — check the individual fund terms.

Annual management fee: All unit trust funds charge an annual management fee (typically 0.5% to 1.8% p.a.), deducted from the fund's NAV daily. This is not a separate bill — it reduces your returns. Higher fees do not guarantee higher returns.

Redemption fee: Most funds do not charge a redemption fee for i-Invest, but some may charge a small fee if you redeem within a short holding period (e.g., within 90 days). Check the fund prospectus.

No EPF fee: EPF itself does not charge you for using i-Invest. The fees are from the fund managers.

What to Consider Before Using i-Invest#

The EPF dividend is your baseline#

EPF has delivered a conventional dividend of 5.20% to 6.90% p.a. over the past decade (2016–2025), and a Simpanan Shariah dividend of 4.75% to 6.40% across 2017–2025 — Simpanan Shariah's first declared year is 2017, so it has no 2016 rate. The Shariah rate matched conventional exactly in 2024 (6.30%) and 2025 (6.15%). This is not guaranteed, but the track record is strong.

Any fund you invest in via i-Invest needs to consistently beat this rate — net of all fees — to justify the move. A fund returning 7% gross but charging 1.8% in management fees gives you 5.2% net, which barely edges out the EPF dividend while exposing you to market risk.

Market risk is real#

Unit trust returns can be negative. In a bad market year, your i-Invest portion could lose 10%, 20%, or more — while the EPF dividend for that same year stays positive. Your Account 1 savings that remain with EPF continue earning the dividend. Your i-Invest portion does not.

The long-term argument#

Over 20–30 year horizons, a well-chosen equity fund has historically outperformed EPF's dividend rate — but with significantly more volatility. If you are under 35 with a long runway to retirement, the maths may favour equity exposure. If you are 50 and retiring in 5 years, the stability of the EPF dividend is worth more than potential upside.

Diversification matters#

If you invest via i-Invest, do not put everything into a single fund. Consider splitting across:

• An equity fund (growth exposure, higher volatility)
• A balanced or fixed income fund (lower volatility, steadier returns)
• A Shariah-compliant option if that aligns with your requirements

This is the same principle behind robo-advisors like StashAway and Wahed Invest, which diversify across asset classes automatically. The difference: with i-Invest, you pick the funds yourself.

i-Invest vs External Robo-Advisors#

If you are considering investing your EPF savings, you have two main paths:

The key difference: i-Invest uses money that is already locked in EPF — you cannot withdraw it freely anyway. Investing via a robo-advisor uses cash you could otherwise spend or save elsewhere. If you have limited investable cash but a large EPF balance, i-Invest gives you market exposure without needing additional capital.

For a broader overview of how to start investing in Malaysia, see the How to Start Investing pillar guide.

How to Redeem (Move Money Back to EPF)#

1. Log in to i-Akaun at my.epf.gov.my
2. Go to i-Invest → "My Investments"
3. Select the fund you want to redeem from
4. Enter the number of units or the full amount to redeem
5. Confirm the redemption — proceeds go back into your EPF Account 1 (not your bank account)
6. Processing takes 3 to 7 business days depending on the fund manager

Once redeemed, the money returns to Account 1 and earns the EPF dividend again from the next dividend calculation period.

Common Mistakes to Avoid#

Chasing last year's top performer. A fund that returned 25% last year may return -10% this year. Past performance does not predict future returns — this is not a disclaimer, it is the single most important fact about investing.

Ignoring fees. A 1.5% annual management fee compounds over time. On RM50,000 invested for 20 years at 7% gross return, the difference between a 0.5% fee and a 1.5% fee is approximately RM25,000 in lost returns. Read the fee schedule.

Investing everything above Basic Savings. Just because you can invest your full eligible amount does not mean you should invest all of it at once. Consider starting with a portion of it, monitoring the fund's performance for 6–12 months, then increasing if you are comfortable.

Not reviewing annually. Set a calendar reminder to review your i-Invest holdings once a year. Check: is the fund still performing in line with its benchmark? Have fees changed? Does the asset allocation still match your risk tolerance?

Related Guides#

• EPF Complete Guide 2026 — everything about EPF: contributions, accounts, dividends, withdrawals
• EPF Contribution Rates 2026 — current employee and employer contribution rates by salary band
• How to Start Investing in Malaysia — the beginner's guide to investing beyond EPF
• StashAway Malaysia Review — robo-advisor alternative to i-Invest

Data sourced from KWSP (kwsp.gov.my) — Basic Savings figures as of 8 August 2026, fund data as of April 2026. EPF policies, Basic Savings thresholds, and approved fund lists change periodically. Confirm current terms on the EPF website before investing. money.com.my is not a licensed financial adviser — this guide is informational, not financial advice.

This guide is AI-assisted with editorial review. Every factual claim is checked against primary sources (KWSP/EPF, fund manager prospectuses) before publication. If you find an error, email editorial@money.com.my — corrections are published with a dated amendment note.

Amendment, 8 August 2026. The Basic Savings table previously shown here (RM5,000 at age 20 rising to RM240,000 at age 55) predated the revision that took effect on 1 January 2026 under KWSP's Retirement Income Adequacy framework, and the worked example built on it (age 32, threshold "approximately RM55,000", "approximately RM40,000 available") was an interpolation from that superseded table. The section now carries the revised framework — RM390,000 by age 60, phased in with RM30,000 annual steps to 2030 — the data points KWSP itself publishes for the new schedule (age 22 → RM4,000; age 25 → RM11,000), and KWSP's own worked example. KWSP's public i-Invest page does not republish the full age-by-age table, so this guide no longer shows one; your personal figure is in i-Akaun.

Amendment, 6 August 2026. This guide said you could invest 25% of the amount in Account 1 above RM1,000, and worked examples off that rule. It is wrong in every part. Per KWSP, you may transfer up to 30% of the savings in your Akaun Persaraan that sit above your Basic Savings — an age-banded figure set so a member reaches roughly RM390,000 by 60, on a revised table effective 1 January 2026 — with a minimum investment of RM1,000. KWSP’s own example: RM24,000 in Akaun Persaraan against Basic Savings of RM11,000 gives (24,000 − 11,000) × 30% = RM3,900. The practical consequence is the opposite of what this guide implied: because Basic Savings rises with age, many members with modest balances can invest nothing, where the old text told them they could invest thousands. Still outstanding: the Basic Savings table in this guide predates the 1 January 2026 revision and has not yet been replaced — read your own figure in i-Akaun rather than from the table.