ITALY - COVIP, the Italian pension funds regulator, says larger collective open plan pensions funds will in future have to deliver an integrated supervisory board structure.
The supervisory board's responsibility currently lies in the hands of just two people appointed by the company or corporation in charge of running the fund, and to which a group of self-employed people have entrusted the management of their pensions.
"In December 2008, we had 81 such collective funds, which are primarily offered by banks or insurance companies," said a spokewoman for COVIP.
Following COVIP's latest announcement, any supervisory body of a fund with 500 or more members of the same group will now have to appoint one representative selected by the company and one chosen by members of the fund.
COVIP said this new structure will help to better define the role of open funds' supervisory board and the length of positions held within the board.
Companies offering open plan pension funds are required to have adopted the new supervisory board structure by 30 April 2010.
"This new structure may in future also be of interest to funds with viewer than 500 subscribers" said the spokeswoman.
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