Advisers' Roles
This page explains in more detail what exactly each of the Trustee´s Advisers does in relation to the Scheme.
Actuary
The actuary is responsible for monitoring the funding and setting the contribution rates for the Defined Benefit Sections of SIPS. Every three years, he conducts an Actuarial Valuation — an assessment of the financial health of the Scheme that relates its current and expected future assets to its current and expected future liabilities. From this Valuation, the actuary can establish the funding position of the Scheme and recommend contributions accordingly — for example, if the Scheme is underfunded, the actuary will recommend an increase in employer (and possibly also employee) contributions in order to eliminate the deficit over time.
Legal Advisers
The legal framework surrounding pension schemes can be quite complicated, therefore SIPS has appointed specialist legal advisers to provide particular assistance in handling legal aspects of the Scheme: changes to the Trust Deed and Rules, ensuring compliance with relevant legislation, and advising on any other matters of law.
Medical Adviser
The medical adviser plays a key role in cases of ill health retirement, and will, if necessary, assess the health of an individual to establish eligibility (or otherwise) for ill health retirement. Having its own medical adviser means that SIPS is well placed to process ill health benefit claims in a consistent manner and in accordance with the Trustee's procedures.
Auditors
It is a legal requirement that the annual accounts of a pension scheme must be independently audited to ensure they are fairly stated. The SIPS auditors perform these checks and sign off the accounts to indicate that they are a true and accurate record of the Scheme´s financial dealings in that year.
Internal Auditors
The internal auditors provide an additional level of security to the Trustee Board by carrying out an independent review and examination of some of the key internal controls applied in the running of the Scheme.
Investment Adviser
The Trustee recognises that investment decisions are one of its most important functions, but that most members of the Trustee Board are not investment professionals. The Investment Adviser is therefore appointed to assist the Trustee in making decisions regarding the investment of the Scheme´s assets, providing training and advice as to the current state of investment markets.
Investment Managers
The investment managers actually go and do the business of investing the Scheme´s assets. Several managers have been appointed to take advantage of the fact that different companies specialise in different markets. Each manager is given specific targets and progress against these is reported quarterly.
Investment Performance Measurement
Northern Trust Risk and Performance Services provide the Trustee with independent analysis of the investment performance compared with the benchmarks set.
Custodian
Day-to-day control of the investment custody arrangements has been delegated by the Trustee to a single Global custodian, the Northern Trust Company, which is independent of the Investment Managers. Having an independent custodian is an additional form of security for the Trustee.
Administrator
The Administrator is responsible for the day-to-day running of SIPS, including holding up-to-date member records, answering member queries and processing member events such as joining SIPS, leaving SIPS, and retirement. The Administrator also assists with the management of SIPS, including communications issues and the running of the SIPS website.
Scheme Secretary
A key part of the Scheme Secretary's role is to assist the Trustee Directors in carrying out their duties. In particular, the Secretary liaises with the Managing Director, Chairman and the Deputy Chairman in the management of the Pension Scheme. The formal work of the Secretary includes preparing agendas, papers and Minutes for the various Trustee Board and Sub-Committee meetings.
