Plan sponsors can expect a continued focus on risk management as a key part of the pension governance process. Following the release of its draft guideline on pension plan risk management last spring, the Canadian Association of Pension Supervisory Authorities is set to publish its final inclusive risk management guideline in the first quarter of 2024. This process was conducted concurrently with a separate consultation paper published by the Office of the Superintendent of Financial Institutions on pension investment risk management, which included a stakeholder comment process.
Read: CAPSA’s risk management guideline adaptable to changes in cybersecurity, ESG: webinar
The CAPSA’s guideline is expected to encompass a range of common risks, including risk related to environmental, social and governance factors, leverage risk and cyber risk, in addition to investment risk, the use of third parties and special risks related to target benefits. The CAPSA intends to provide more information and direction to plan administrators on managing the risks associated with the pension plan, particularly for new risks, such as those related to ESG and cybersecurity.
The focus is on plan…
