1. Pensions Directive - issues for scheme trustees IAPF Trustee Forum22 March, 2005

2. The Directive and trustees Background Trusteeship Investment Cross-border Miscellaneous Timing and implementation

3. Background The Directive –Common minimum standards of governance –Cross-border schemes Few issues of principle 23 September, 2005

4. Trusteeship ‘Good repute’ Not –Undischarged bankrupt –Undischarged composition –Convicted of fraud or dishonesty –Companies Act s.150 declaration –Company with ineligible director ‘Suitably qualified’ –Training –All trustees –Depends on delegation of activities –Company trustees Trustee responsibility

5. Investment Statement of investment policy principles –Large schemes only Borrowing –Direct investment only –Large schemes: liquidity only –Small schemes – regulations to follow

6. Investment, contd. Self-investment –No more than 5% –DC and DB –Prohibited, not just ignored Investment regulations –Primarily in regulated markets –Diversification –Derivatives –Look-through

7. Cross-border Employers can sponsor foreign schemes Home governance, host social & labour law Prior authorisation No underfunding UK/Irish schemes

8. Miscellaneous Defined contribution and pensions Group self-employed Registration

9. Implementation Commencement 23 September 2005