The Canadian Association of Pension Supervisory Authorities (“CAPSA”) released two new guidelines on November 15, 2011:

  • Guideline No.6Pension Plan Prudent Investment Practices Guideline and related self-assessment questionnaire.  Guideline No. 6 and the related self-assessment questionnaire, which apply to both defined benefit and defined contribution plans, together are intended to provide guidance to plan administrators on how to demonstrate the application of prudence to the investment of pension plan assets. 
  • Guideline No. 7Pension Plan Funding Policy Guideline.  Guideline No. 7 is  intended to provide guidance on the development and adoption of funding policies for defined benefit plans. 

These guidelines are part of CAPSA’s strategic initiative to promote consistency in the governance of pension funds and funding.