Regulation and supervision of the private pensions industry began in the third quarter of 2006/07 with the licensing of administrators and investment managers; and the registration of trustees, superannuation funds, retirement schemes, and responsible officers. In keeping with its mandate to protect the members and beneficiaries of superannuation funds and retirement schemes the FSC seeks to develop and maintain a comprehensive and robust system of assessment of registrants and licensees to determine whether they are being managed in a safe and sound manner.
A risk-based framework is employed in keeping abreast of risk associated with regulated entities and focusing the FSC’s supervisory efforts and resources. The framework entails a number of regulatory and supervisory activities involving:
- Off-site analysis of data gathered through routine annual and ad hoc statutory filings
- Meetings with trustees, their agents and other key stakeholders
- Conducting on-site examinations and making recommendations
- Interpreting the legislation and issuing of bulletins, guidelines and discussion papers
- Approving specified requests from regulated entities
- Assessing compliance with statutory and regulatory requirements
- Using our powers, where necessary, to obtain information and to protect pension plan members and their beneficiaries.