CAPSA Releases Two New Guidelines supporting Pension Plan Management

TORONTO, Sept. 10, 2024 /CNW/ - The Canadian Association of Pension Supervisory Authorities (CAPSA), is pleased to announce the release of two guidelines. Guideline No. 3 – Guideline for Capital Accumulation Plans (CAP Guideline) and Guideline No. 10 – Guideline for Risk Management for Plan Administrators (Risk Management Guideline). Both Guidelines represent CAPSA's view of leading practice in pension management in these areas. Both documents are available on the CAPSA website. 

CAPSA's 2024 CAP Guideline replaces the previous 2004 CAP Guideline. CAPSA Chair, Angela Mazerolle stated "significant developments have occurred in the financial services industries over the past 20 years and the new guideline reflects important updates of regulators' views on the responsibilities of CAP sponsors, administrators and service providers in the current marketplace. It also clarifies expectations surrounding information to be communicated to members." 

CAPSA wishes to thank representatives of the Canadian Securities Administrators, (CSA) and the Canadian Council of Insurance Regulators (CCIR) who participated in the review of the CAP Guideline and lent expertise to the CAPSA CAP Guideline Committee in bringing forward current perspectives of securities and insurance regulators to the CAP Guideline. CAPSA members appreciate their expertise, insights, and perspectives that were instrumental in modernizing the Guideline.

Also released on September 9, 2024, is CAPSA's new Risk Management Guideline. Previously, specific types of risk most common to pensions were addressed in individual CAPSA documents. In response to stakeholder input received during the 2022 consultation, CAPSA shifted development to one comprehensive Risk Management Guideline that consolidated approaches to pension risk management on topics including cyber security, leverage, third-party participants, investment and environmental, social and governance (ESG).   

"Both guidelines recognize the wide range in size and sophistication of plans, administrators, and sponsors. Proportionality is woven throughout these guidelines. CAPSA recommends that each sponsor and administrator review the guidelines and explore how they will implement the recommended practices in a manner that works for their membership and organization" stated David Bartucci, Chair of CAPSA's Risk Management Committee.

Ms. Mazerolle noted "Both guidelines reflect best practice in pension management and should be implemented by pension plan administrators as soon as possible. Where technology system changes or process changes are needed to support the guidelines, it is expected that they be implemented by January 1, 2026."  

For further information:  
CAPSA website: https://www.capsa-acor.org/ 
CAPSA email: [email protected]
Phone: [phone]

SOURCE Canadian Association of Pension Supervisory Authorities