Governance

        Governance         InstructionsAnswer all parts of each of the two (2) questions below as completely as possible. Prepare your assignment as a sin" rel="nofollow">ingle document.Question 1 (50 marks; one to two pages)Read the scenario below, and then complete the activities that follow it.Governance Plan and ProcessYou are a member-representative trustee of a small pension plan with assets of approximately $25 million. The plan is a defin" rel="nofollow">ined benefit plan. It is admin" rel="nofollow">inistered by the local office of a large actuarial consultin" rel="nofollow">ing firm, Pensions R Us, and its funds are in" rel="nofollow">invested with a sin" rel="nofollow">ingle in" rel="nofollow">investment manager, Returns and Co.The Board has decided that now would be a good time to establish more formal processes for runnin" rel="nofollow">ing meetin" rel="nofollow">ings and for reportin" rel="nofollow">ing requirements. Up until now, the small size of the plan has kept it from receivin" rel="nofollow">ing much attention from a governance perspective. But at the last few meetin" rel="nofollow">ings, it was not clear who was to report on what items, and the trustees did not know whether to in" rel="nofollow">invite external consultants, in" rel="nofollow">investment managers, or admin" rel="nofollow">inistrators to their meetin" rel="nofollow">ings.Because you have been in" rel="nofollow">involved with this plan for the past three years, the board has asked you to put this knowledge to work and to develop a matrix of the roles and responsibilities that will be used to determin" rel="nofollow">ine the allocation of tasks and responsibilities to all of the parties in" rel="nofollow">involved with the plan on a regular or periodic basis.You have been given free rein" rel="nofollow">in to create what you believe would be an effective governance system for this group.  Your goal is to develop a workin" rel="nofollow">ing document for discussion at the next meetin" rel="nofollow">ing of trustees. Because your governance system will require eventual consensus from the various parties, your allocations must be defensible.Based on the above in" rel="nofollow">information, your knowledge of the various parties who might be in" rel="nofollow">involved, your opin" rel="nofollow">inion of the types of duties required of the plan’s fiduciaries, and your view on the tasks that may be delegated, develop a one to two-page matrix that clearly shows the followin" rel="nofollow">ing hierarchy of delegation of authority and roles in" rel="nofollow">in the governance process:• Approve action• Recommend action• Report on action• Perform task________________________________________ Question 2 (50 marks; approximately350 words)Based on the documents you developed for question 1, prepare a one-page summary and rationale for your governance system that explain" rel="nofollow">ins:• Your rationale for your proposed allocation of roles and responsibilities.• Your estimation of the parties who may object to your proposed allocation, their possible objections, and your proposed responses to their concerns.