The Local Government Pension Scheme (Management and Investment of Funds) (Amendment) Regulations 1999
The Secretary of State, in exercise of the powers conferred on him by section 7 of the Superannuation Act 1972[1] and of all other powers enabling him in that behalf, after consultation with such associations of local authorities as appeared to him to be concerned, the local authorities with whom consultation appeared to him to be desirable and such representatives of other persons likely to be affected by the Regulations as appeared to him to be appropriate, hereby makes the following Regulations: Citation and commencement 1. - (1) These Regulations may be cited as the Local Government Pension Scheme (Management and Investment of Funds) (Amendment) Regulations 1999. (2) These Regulations shall come into force on 4th January 2000. Amendment of Regulations 2. The Local Government Pension Scheme (Management and Investment of Funds) Regulations 1998[2] are amended in accordance with regulations 3 to 6 of these Regulations. General definitions 3. In regulation 2, after the definition of "securities" insert -
Terms of appointment of investment managers
(b) in paragraph (7), after "which would contravene" insert
"the administering authority's statement of investment
principles,". Statement of investment principles
9A. - (1) An administering authority must, after consultation with such persons as they consider appropriate, prepare, maintain and publish a written statement of the principles governing their decisions about investments. (2) The statement must cover their policy on -
(b) the balance between different types of investments, (c) risk, (d) the expected return on investments, (e) the realisation of investments, (f) the extent (if at all) to which social, environmental or ethical considerations are taken into account in the selection, retention and realisation of investments, and (g) the exercise of the rights (including voting rights) attaching to investments, if they have any such policy. (3) The first such statement must be
published on or before 3rd July 2000. Schedule 1
9A. All investments in open-ended investment companies where the collective investment schemes constituted by the companies are managed by any one body. 9B. All investments in units or other shares of the investments subject to the trusts of unit trust schemes and all investments in open-ended investment companies where the unit trust schemes and the collective investment schemes constituted by those companies are managed by any one body (but see paragraph 14)."; and
(2) In Part III of Schedule 1 for the
definition of "open-ended investment company" substitute the
following -
(This note is not part of the Regulations) These regulations amend the Local Government Pension Scheme (Management and Investment of Funds) Regulations 1998. Regulation 5 adds a new regulation which requires each administering authority to prepare, maintain and publish a written statement of the principles governing their policy on investments of pension fund moneys. The statement must cover the same matters as those the trustees of a trust scheme must include in the statement that they are required to prepare under section 35 of the Pensions Act 1995. The statement must also include the authority's policy on the extent to which social, environmental or ethical considerations are taken into account. Regulations 3 and 4 contain consequential amendments. Regulation 6 clarifies the limit on investments in unit trust schemes and collective investment schemes. It also amends the definition of open-ended investment companies to include companies registered outside the United Kingdom. Notes: [1] 1972 c. 11.back [4] OJ No. L375, 31.12.1985, p. 3-18 as amended by Council Directive 88/220/EEC (OJ No. L100, 19.04.1988, p. 31-33).back
|
|
|
||
|
|
� Crown copyright 1999 | |