Initial assessment – Sample questions - Pension funds

General:

• What is your motivation for considering this position?
• What will be your strategy for the organisation/what will you focus on?
• What does Pensioen123 mean?

Operational management and communications:

• What are the most significant internal challenges for the organisation?
• What is the pension fund's governance model?
• How does the board perform self-assessments?

Relevant laws and regulations:

• What are the requirements for outsourcing under the Pensions Act?

Pension schemes and types:

• Can you explain the differences between DB, DC and CDC schemes?
• Which scheme or schemes does your fund administer?
• Which risks do DB schemes have? Which risks do DC schemes have?

Financial and actuarial aspects, including funding, investments, actuarial principles and reinsurance:

• What are the main characteristics of your fund's investment policy?
• How do you control interest rate risk?
• What is the impact of falling interest rates on the fund's liabilities? And on investments?
• Which differences do you observe between self-administered and insured pension plans?

DNB has published a guidance that describes the required levels of investment knowledge for candidates and formulates questions. It distinguishes three main profiles for investment knowledge in the form of a general, a specific and an expert profile. This guidance is available in Dutch only.

Administrative organisation (AO) and internal control (IC):

• What are the characteristics of AO/IC and what are the benefits of adequate structuring?
• What does the actuarial and technical business report describe (Actuariële en bedrijfstechnische nota – ABTN)?
• Does the ABTN adequately describe the financial structure?

Outsourcing:

• Which criteria would you apply when selecting an asset manager?
• How does the fund manage outsourcing risks?
• How does the fund control the costs of outsourcing? How does the fund define acceptable cost levels?

The team of board members of which the candidate will be part:

• What value will you be adding to the team?
• What are the strong points of the team? And the weaker points?
• By which additional competencies or expertise would the team benefit in your opinion?
• Given your specific expertise, which supervisory board members are most likely to offer countervailance?

Competencies:

• Can you describe a recent situation where you showed critical and decisive behaviour?
• How do you exert influence within the team? Can you give an example?
• How do you deal with conflicts of interest?
• What are your pitfalls?
• How do you, as the chair, ensure that all members deliver an active contribution to meetings Can you give an example of this?
• How do you combine your different positions?
• Could you devote more time to this position, if the circumstances so require? Which position would you give up or reduce in that case?

Propriety:

• We found that you failed to disclose a particular piece of your professional history in the Propriety Assessment Form. Why is this?
• What happened?
• What have you learned?