The board establishes a policy on disclosure of information that clearly defines the grounds on which the board may choose to exercise discretion in providing information to stakeholders.

Open dissemination of key information about the social security institution does not necessarily imply transparency. To be transparent, such information, which is a basic right for stakeholders, members and beneficiaries of the social security scheme, should be timely, reliable, relevant, accurate and objectively verifiable.

The board implements the established actuarial measures to ensure the financial sustainability of each of the social security programmes established by the institution. For institutions that have investment reserve funds, standards and benchmarks are established for the returns on investments to support the financial sustainability of the social security programmes.

For social security institutions that have an investment mandate, legislation, policy or decree establishes the general direction of the investment policy and prescribes the types of allowed investment instruments. Furthermore, in order to maximize the long-term rate of return on reserves and at the same time mitigate investment risks, the range of instruments allowed for investments is sufficiently diversified.

Legislation, policy or decree provides for the establishment of internal and external systems of control for the social security institution.

The board ensures that the risks faced by the social security institution are properly identified and managed or averted. These risks may arise in various forms, including but not limited to strategic, operational, political, economic, regulatory, geographic and demographic risks.

There is a board-approved strategic plan that lays down and spells out the key strategies and plans of action to be implemented by the management in order to realize and perform the legislated mandate of the institution.

The board ensures that the institution is performing its mandate efficiently. It establishes a set of standards and benchmarks to evaluate the management’s administration and implementation of the social security programmes.

Legislation, policy or decree establishes the legal liability of the members of the board for failure to discharge their functions.

The selection process ensures the suitability and competence of the members of the board. The term of office of a board member and the basis for its renewal (if renewable) are clear and well defined.