Chamber Pension Plan adopts new CFA Code of Conduct
The Chamber of Commerce’s Pension Plan has recently embraced the Code of Conduct developed by the CFA Institute for pension plan trustees, emphasising how transparency, integrity and strong governing principles are at the cornerstone of its operations.
The Chamber Pension Plan is the first in the Cayman Islands to adopt this documented standard of governance, underscoring its leading position as a top choice for both businesses and employees when it comes to choosing their pension plan.
Bill Fleury, the Chamber Pension Plan’s COO and General Manager explained that taking on the Code is important to show how the Chamber Pension Plan is committed to the highest levels of oversight.
“How we govern our pension schemes here in the Cayman Islands has the potential to significantly affect the lives of all employees who are dependent on their pensions,” he says. “It is therefore a responsibility that we at the Chamber Pension Plan take extremely seriously, hence our decision to take on the CFA Institute’s Code of Conduct for Members of a Pension Scheme Governing Body.”
Mr Fleury further stated that the Code represents best practice in the industry internationally, and requires the Pension Plan to demonstrate its commitment to serving the best interests of participants and beneficiaries.
“In addition, it provides an ethical framework for governing board members to follow while executing their responsibilities to the Plan,” he says. “At its core are ten fundamental ethical principles for pension fund trustees, providing guidance for those who oversee the management of such plans. Such principles include acting in good faith and in the best interests of scheme participants, acting with prudence and reasonable care and acting with skill, competence and diligence.”
Other important principles include maintaining independence and objectivity by avoiding conflicts of interest, abiding by applicable rules and regulations and generally taking actions that are consistent with the established mission of the scheme.
“Maintaining confidentiality of the scheme, participant and beneficiary information is another major component of the guiding principles,” Mr Fleury said, “as is maintaining communication with all concerned in a timely, accurate and transparent manner.”
The Code was developed by the CFA Institute, the global association of investment professionals that sets the standard for professional excellence, along with a multinational coalition that includes America’s Council of Institutional Investors, the OECD and the UK’s National Association of Pension Funds.