IICP provides pension funds/sponsoring firms with optimal services to construct stronger system toward better pension fund management/control. In view of the recent changes in the pension fund industry, which include 1) mandatory switch from TQPP to other system by March 2012, 2) process to gradually move toward convergence with the IAS being under way, the fund management industry is urgently required to prepare for the following
- Building-up stronger internal governance system to assume higher standard of fiducially responsibilities
- As new IAS rule is likely to disallow smoothing of discount rate for PBO valuation and recognition of actuarial difference will have to be accounted without delay, the most recent performance of the pension fund management has increasingly become an important factor to wield significant impacts more directly on the financial statement of the sponsoring firm.
IICP will help the client's pension system to brace for requirements the clients will have to wrestle with in the following aspects:
- IICP will help clients to build up the pension fund governance system, including arrangements for basic investment policy, setting-up of Pension Fund Investment Committee, preparation for investment guideline for asset managers and advice on manager's selection etc.
- IICP will help clients to closely monitor investment performance of managers on a regular basis, whereby we make analysis of the performance and risk control, assess manager's fund management capabilities and come up with recommendation for improvement if necessary.
The investment monitoring service IICP provides are suited for pension funds who seek for improvement in the overall function of governance system, consistent investment process and better communication with the fund managers toward better asset management performance.