Section 69 Governance and structureI1
England, Wales and Scotland
The responsible body of an operating superfund must ensure, so far as reasonably practicable, that the superfund has policies and procedures in place—
that allow for the superfund to be managed and administered effectively in the interests of members of the superfund scheme,
that ensure the superfund’s compliance with the requirements of this Part and any other legislation relating to pensions, and
that are proportionate to the scale and nature of the superfund’s activities.
Those policies and procedures must, in particular, address the following matters—
how the responsible body, the other members of the superfund group, and the trustees of the superfund scheme are to interact with each other, and how any conflicts are to be resolved;
how investment decisions are to be taken in relation to the capital buffer and the superfund scheme;
the implications of receiving new superfund transfers;
the management of risks.
The responsible body of an operating superfund must ensure that the superfund meets any conditions specified in regulations made by the Secretary of State as to—
the corporate form, jurisdiction of incorporation or jurisdiction of tax residence of a member of the superfund group;
the structure of the superfund group;
the terms of the capital buffer arrangement (including as to how, by whom, in what jurisdiction and on what terms the capital buffer may be held);
compliance with tax legislation.
Section 10 of the Pensions Act 1995 (civil penalties) applies to the responsible body if it breaches subsection (1) or (3).
The Secretary of State may by regulations amend this section for the purpose of adding, removing or varying a matter which the policies and procedures mentioned in subsection (1) must address.
Regulations under subsection (3) or (5) are subject to the affirmative procedure.
Annotations
Commencement
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S. 69 in force at Royal Assent for specified purposes, see s. 133(1)