Introduction

The Profession began the production of a governance manual in early 2005, and the chapters were all updated in 2008.

The Profession adopts a stakeholder approach to corporate governance. This approach recognises not only the primary interest of its members but also those of many other parties, including its employees, the users of actuarial advice and the general public affected by that advice.

Consistent with the stakeholder approach, the Profession adheres to the following concepts:

• Openness, honesty, transparency and accountability. The Profession encourages outsiders to understand its objectives and its decision-making process by publishing its decisions (except where prevented by considerations of confidentiality), its corporate plan and an explanation of its governance structures. Typically, publication is via the Profession’s website.
• Independence. The Profession adopts structures and procedures (detailed in other chapters of this manual) which maximise the freedom of decision-makers from the influence of others and minimise potential conflicts of interests. Where appropriate, there is involvement of people who are not actuaries.
• Authority, responsibility and accountability. The Profession takes responsibility for its performance and is prepared to explain to its stakeholders the factors affecting its performance. Moreover, in delegating authority internally, it requires those in positions of responsibility to justify, explain or account to the Management Board or the relevant Council, Board, etc for the exercise of authority and for actions taken. The Profession requires corrective action to be taken where appropriate.
• Fairness, ethics and social responsibility. In the public interest, the Profession acts impartially, reasonably, ethically and with a sense of justice towards its stakeholders.

Contents

Links below are to chapters that have been approved by the Management Board. Where appropriate, chapters have been endorsed by Councils.