The Office of the Superintendent of Financial Institutions (OSFI) on Wednesday published two new guides that outline the process of applying for a federal pooled registered pension plan (PRPP) licence and for registering a PRPP with OSFI.
Federally licensed plans are exempt from complying with similar provincial legislation, under an agreement signed in June between the federal government and several participating provinces that authorizes OSFI to oversee PRPPs and plan administrators.
The guides are intended to help PRPP administrators complete the application issued jointly by OSFI and the Canada Revenue Agency to register a plan, and set out the required supporting documentation.
Among other things, the required documentation includes: a five-year business plan that addresses the plan’s sustainability and cost structure; procedures to identify, manage and control PRPP risks; and the overall governance framework for managing operational risks.
OSFI has also updated its existing frequently asked questions (FAQs) on these new retirement savings vehicles.