Corporate Governance – Pension Funds
Corporate Governance has been described as ‘The Management of Management’.
It is measured by the quality of the decision making structures at the top of every organisation together with the clarity and completeness of communication between the ‘governance level’ of the organisation and the ‘management level’.
Communication ensures that expectations and decisions are clearly articulated from the Board to management and that outcomes and achievements are clearly reported back to the Board.
The Pensions Authority in Ireland has placed as 2nd in its hierarchy of risk priorities the ‘lack of governance or maladministration impacting on benefits/failure to pay benefits due.
In addition, the Authority has developed codes of governance for DC schemes. These codes of governance, while not legally binding, set out the standards of behaviour that the Authority would expect trustees to adopt to demonstrate their commitment to serving the best interests of members, deferred members and other beneficiaries.
At Governance Matters we advise Pension Scheme Trustees and Management on all aspects of Corporate Governance including:
- Appropriate Trustee Board and Committee Structures
- Roles and Responsibilities of Trustee Boards, and individual Trustees
- Documentation and clear communication of Trustees’ policies and values
- Definition of Trustee Board reports required from Management
- Delegation of authorities to the Management
- Trustee Board and Individual Trustee training needs and delivery of training
- Board and individual Trustees’ effectiveness assessment
- Effectiveness of meetings and decision making processes
We are also in a position to recommend individuals who can act as independent Trustees for DB or DC pension schemes.