{"id":19562,"date":"2020-09-15T09:00:11","date_gmt":"2020-09-15T13:00:11","guid":{"rendered":"https:\/\/www.benefitscanada.com\/news\/fsra-seeking-input-on-draft-guidance-for-asset-transfer-transactions-149843"},"modified":"2020-09-15T09:00:11","modified_gmt":"2020-09-15T13:00:11","slug":"fsra-seeking-input-on-draft-guidance-for-db-pension-transfers","status":"publish","type":"post","link":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/2020\/09\/15\/fsra-seeking-input-on-draft-guidance-for-db-pension-transfers\/","title":{"rendered":"FSRA seeking input on draft guidance for DB pension transfers"},"content":{"rendered":"<div class=\"alignleft clearfix\">\n<div class=\"wp-caption feature-image alignleft\"> <img decoding=\"async\" loading=\"lazy\" width=\"316\" height=\"190\" src=\"https:\/\/www.benefitscanada.com\/wp-content\/uploads\/2017\/12\/Merger1.jpg\" class=\"attachment-feature size-feature wp-post-image\" alt title=\"FSRA seeking input on draft guidance for DB pension transfers\"> <\/div>\n<\/p><\/div>\n<p class=\"byline\"> <span>Staff<\/span>&nbsp;|&nbsp;September 15, 2020 <\/p>\n<p>The Financial Services Regulatory Authority is seeking stakeholder input on draft guidance on providing consent for asset transfer transactions under the Pension Benefits Act.<\/p>\n<p>Aiming&nbsp;to support&nbsp;predictability and transparency for defined benefit plan administrators, sponsors and members and to protect of the rights of members, the guidance sets out how the FSRA will exercise its discretion&nbsp;and may provide its consent for the purposes of an asset transfer transaction under the&nbsp;act.<\/p>\n<p>As an example, a transaction may occur when&nbsp;two businesses merge or one&nbsp;organization acquires another and their individual pension plans are to be partially or fully merged. It could also happen if a single employer pension plan merges into a jointly sponsored pension plan.<\/p>\n<p><strong>Read:&nbsp;<a href=\"https:\/\/www.benefitscanada.com\/news\/how-to-deal-with-db-pensions-in-an-ma-transaction-93832\">How to deal with DB pensions in an M&amp;A transaction<\/a><\/strong><\/p>\n<p>\u201cRegardless of the underlying reason for the asset transfer transaction, this approach guidance supports pension plan administrators\u2019 understanding of how to seek FSRA\u2019s consent to the transfer and when and how FSRA will exercise its discretion.\u201d<\/p>\n<p>In a press release, the&nbsp;regulator noted the guidance aims to protect&nbsp;DB plan member and beneficiary entitlements; to speed up the review process that&nbsp;examines whether original and successor plans will remain able to deliver on their long-term pension promises; to keep members properly informed of the impact of asset transfers on their past and future benefits; and to make plan management more efficient overall for plan sponsors and administrators.<\/p>\n<p>The consultation period will run from Sept. 11 to Nov. 30, 2020.<\/p>\n<p><strong>Read:&nbsp;<a href=\"https:\/\/www.benefitscanada.com\/news\/fsra-issues-new-guidance-for-pension-plans-transferring-commuted-values-purchasing-annuities-146305\">FSRA issues new guidance for pension plans transferring commuted values, purchasing annuities<\/a><\/strong><\/p>\n<p> <a href=\"https:\/\/www.benefitscanada.com\/news\/fsra-seeking-input-on-draft-guidance-for-asset-transfer-transactions-149843\">Read the full article at BenefitsCanada.com<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Staff&nbsp;|&nbsp;September 15, 2020 The Financial Services Regulatory Authority is seeking stakeholder input on draft guidance on providing consent for asset transfer transactions under the Pension Benefits Act. Aiming&nbsp;to support&nbsp;predictability and transparency for defined benefit&#46;&#46;&#46;<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[],"tags":[],"jetpack_featured_media_url":"","_links":{"self":[{"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/posts\/19562"}],"collection":[{"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/comments?post=19562"}],"version-history":[{"count":0,"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/posts\/19562\/revisions"}],"wp:attachment":[{"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/media?parent=19562"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/categories?post=19562"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/tags?post=19562"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}