Alberta/British Columbia Joint Expert Panel On Pension Standards Report - Part 2

III. FUNDING AND BENEFIT SECURITY

Defined Benefit Funding Rules

Recommendation 8.1.1-A Pension standards should continue to require both solvency and going-concern valuations, with reasonable requirements that protect benefit security while not being overly onerous for sponsors, as further described below:

Going-concern funding requirements

Recommendation 8.1.1-B Current going-concern funding rules should continue to apply and be determined by the plan actuary and the plan sponsor, based on the plan's funding policy (see also Section 7.1 "Governance standards" above), actuarial standards of practice and regulatory requirements.

Solvency funding requirements

Recommendation 8.1.1-C Solvency funding rules should be developed on the following bases: