De Nederlandsche Bank (DNB), the Dutch pensions regulator, has warned pension funds that they must speed up preparations for the introduction of the FTK, the country's new financial assessment framework.
Olaf Sleijpen, supervisory director for pension funds, said more than half of Dutch schemes, according to DNB figures, doubt they will have a transition plan in place before the end of the year. He also lamented the fact that more than half of schemes said they would not carry out surveys to measure their participants' risk appetite. According to Sleijpen, the DNB found that the larger Dutch pension funds were best prepared for the introduction of the new FTK.
Sleijpen further said that the DNB survey showed that approximately 20 per cent of Dutch pension funds were considering liquidation before the new FTK took effect on 1 January, 2015. He added that the DNB did not intend to change its application of the 'prudent person' approach for pension funds' investment policies. "The prudent person remains an open standard that primarily must be filled in by the schemes themselves", he stressed, adding that borderline cases would be assessed on the basis of 'comply or explain'.
Full article (IPE registration required)
© IPE International Publishers Ltd.
Key
Hover over the blue highlighted
text to view the acronym meaning
Hover
over these icons for more information
Comments:
No Comments for this Article