OECD guidelines relating to private pensions

Core Principles of Occupational Pension Regulation

7 July 2009

The Core Principles aim to achieve more efficient regulation and management of company pension schemes. The Core Principles, which are non-binding, cover seven key areas: conditions for effective regulation and supervision; the establishment of pension entities; their funding and asset management; the protection of member and beneficiaries’ rights; and how funds should be governed and supervised.

They are supported by the corresponding sets of guidelines listed below.

The OECD has also set out a methodology to assess the extent to which countries comply with the Principles.

Guidelines for Pension Fund Governance

7 July 2009

These guidelines aim at setting international standards for the governance of private pension funds, in view of protecting people's pensions from mismanagement and fraud.

These guidelines were revised in June 2009, taking account of comments received during a period of public consultation.

OECD-IOPS Guidelines on the Licensing of Pension Entities

28 March 2008

Jointly developed by OECD and IOPS, these guidelines provide a framework for licensing regulations and the assessment of licensing applications from pension entities to determine whether or not they stand up to certain criteria: adequate governance structures, management in the best interest of plan members and other beneficiaries, financial security and performance of pension entities and maximimum operational efficiency.

OECD Guidelines on Funding and Benefit Security in Occupational Pension Plans

10 May 2007

These guidelines set out good practices in the area of pension funding and benefit security. They cover regulatory issues such as the valuation of pension liabilities, funding rules, the role of insolvency guarantee arrangements and creditor rights of pension plan beneficiaries in case of insolvency of the company that sponsors the pension plan.

Guidelines on Pension Fund Asset Management

26 January 2006

These guidelines set out good practices in the area of pension fund asset management. They cover regulatory issues such as the prudent person rule, the statement of investment policy, quantitative investment limits and valuation.

OECD Guidelines for the Protection of Rights of Members and Beneficiaries in Occupational Pension Plans

September 2003

These guidelines set forth core rights and protections for plan members and beneficiaries that are generally intended to be implemented and monitored by pension regulators and supervisors.

IOPS Principles of Private Pension Supervision

August 2006

The IOPS ‘Principles of Private Pension Supervision’ were approved by the governing members at the Annual General Meeting held in Istanbul in 2006. These Principles cover topics such as objectives, independence, adequacy of resources and powers, risk-orientation, proportionality and consistency, consultation and cooperation, confidentiality, transparency and governance. As well as being widely adopted by IOPS member authorities, these Principles have been used in FSAP evaluations by the IMF and the World Bank. The Principles will be reviewed in 2010.

OECD Recommendation on Good Practices for Financial Education Relating to Private Pensions

29 April 2008

These good practices call on governments and business to work together to improve financial literacy in order to give people the tools they need to secure their future.