FAQs
Select an icon to view frequently asked questions about each topic and links to content with answers.
Governance Essentials
What is public pension governance?
How does pension board governance work?
What does board oversight entail?
What responsibilities do trustees have?
What is included in a pension governance framework?
Why are governance policies important?
Stakeholder Engagement
1. Plan Participants
Who are the active members contributing to public retirement systems?
Who are the retirees receiving benefits from public pensions?
Who qualifies as a beneficiary under public retirement systems?
2. Plan Sponsors
Which public employers are responsible for funding retirement systems?
How do legislative bodies influence public retirement plans?
3. Governance Bodies
What are the responsibilities of a Board of Trustees in public pensions?
What fiduciary duties must trustees uphold in managing public retirement systems?
4. Oversight and Regulatory Agencies
What role do state pension oversight commissions play in public retirement systems?
Which federal agencies regulate aspects of public retirement plans?
5. Unions and Employee Associations
How do labor unions participate in public pension governance?
How do collective bargaining agreements impact public retirement benefits?
6. Taxpayers and the Public
Why is public accountability important in managing retirement funds?
How can public retirement systems ensure sustainability without burdening taxpayers?
General Stakeholder Interest Questions:
What are the best practices for public pension governance?
How can stakeholders effectively engage with public retirement systems?
Why is transparency crucial in pension fund management?
What policies ensure long-term sustainability of public retirement systems?
How are employee retirement benefits determined and protected?
How does legislative oversight impact public pensions?
What is the significance of union involvement in pension decision-making?
Fiduciary Duties & Legal Standards
What are the key fiduciary duties?
What is the difference between a prudent person and a prudent expert?
What fiduciary standards must boards follow?
Is there a forgiveness period?
How should boards handle group conflicting interests vs personal conflicts of interest?
What is fiduciary risk, and how can it be managed?
What constitutes a fiduciary breach?
Conducting Board Business: Roles & Structure
What are the key roles and responsibilities of a pension board?
What duties does an investment committee perform?
What is the role of an audit committee?
What does a governance committee do?
Why is board education and training important?
How should trustee orientation be conducted?
How can boards effectively perform self-assessments?
Setting Strategic Direction and Policy
What should be included in an investment policy statement?
How is funding policy governance structured?
How does the board oversee asset allocation?
What role does governance play in funding discipline?
What are the best practices for strategic planning?
What does a governance committee do?
Why is board education and training important?
How should trustee orientation be conducted?
How can boards effectively perform self-assessments?
Approve Key Decisions & Delegating
What decisions need to come to the board for approval?
What is prudent due diligence?
When should authority be delegated, and how?
Oversight: Transparency, Risk, and Accountability
Why is transparency important in public pension governance?
How can pension risk be effectively overseen?
What are key aspects of performance reporting?
What does public accountability mean for pension governance?
Why are governance audits necessary?
Independent Audit and Reassurance
How does our system assess the effectiveness of its internal controls?
What does a compliance audit involve, and how does it verify adherence to regulations within our retirement system?
How does our system identify, evaluate, and mitigate risks?
Does it use a structured framework?
What governance practices help to assure transparency, accountability, and ethical decision-making within our system?
Emerging Issues & Trends
What role does ESG play in pension governance?
How are AI and automation influencing governance practices?
Why is cybersecurity governance critical?
How should boards address climate risk?
How can boards improve adaptation and resilience?
Emerging Issues and Trends (click here)