Actuarial & Superannuation
Our actuarial and superannuation consulting services include:
- Actuarial & financial management
- Benefit review & design
- Trustee structure
- Employee & member education
- Trustee training & education
- International issues
- Legislative & compliance consulting and plan audits
- Mergers & acquisitions
- Provider review and appointment & implementation efficiencies
- Administration services.
Actuarial & financial management
MCA provides the full range of actuarial services including actuarial valuations, benefit costings, cash-flow and solvency projections, asset liability modelling studies, experience analysis, plan wind-up entitlement calculations and actuarial projections.
Benefit review & design
MCA assists employers optimise the benefit design given their philosophy, objectives and cost constraints. Where required, MCA will assist in the determination of an appropriate employer philosophy in the context of remuneration and employee management policies. Advice is provided in all areas of employee benefits including defined benefit, defined contribution (including the conversion from one to the other), group life insurance, disability income insurance and health insurance. Supporting the consultancy advice in this area are employee attitude surveys, focus group discussions and industry and competitor practice surveys.
MCA assists in the preparation, development and review of written, verbal and multi-media communication programmes and material. The success or otherwise of a plan achieving the employer’s objectives depends on the effectiveness of the communication programme. Written material includes member booklets, brochures, annual (or quarterly/six monthly) reports, member newsletters, product disclosure statements, fund updates and member advice statements. MCA undertakes member/employee meetings to launch a new plan, promote or explain an existing plan and to communicate changes/options following a benefit review and plan transfers.
MCA assists in the preparation and interpretation of trust deeds and deed amendments. MCA also assists in the preparation of investment manager, administration and insurance contracts. Services extend to include assisting in the documentation of trustee resolutions and policies.
MCA assists employers determine the optimal trustee structure and the advantages and issues relating to member representation and external trustees. Where appropriate, MCA will also assist in the development of procedures relating to trustee elections and provide independent supervision of the election process.
Employee & member education
MCA runs workshops on financial issues (eg saving for retirement, investing assets and insurance needs). Workshops are designed to assist employees make decisions and manage their financial health effectively. These can be structured to be part of a regular and ongoing educational programme or at specific times such as at retirement, or on redundancy. In addition to informing employees of the options and implications of their decisions, workshops are designed to educate employees and motivate them to act.
Trustee training & education
MCA runs workshops on trustee responsibilities and best practice relating to trustee performance. MCA will assist or provide, when asked, full support services to trustees including secretarial services (ie agenda preparation, minute taking etc.).
MCA assists trustees put in place, manage and review the insurance arrangements (life, disablement, disability income and medical), to ensure that they are competitive and efficient, and provide the plan with an appropriate level of financial protection. They must also be competitive from a cost and medical requirement view point, and efficient from an administration viewpoint. MCA has wide experience in dealing with insurers, and is aware of which insurers are currently competitive. Advice extends into areas such as self or partial insurance and stop loss cover.
MCA provides advice in the areas of international employee transfers and international employee benefit trends. MCA also ensures compliance with international accounting standards such as IFRS, GAAP etc.
Legislative & compliance consulting and plan audits
MCA provides advice on the impact of new legislation as well as the requirements of current legislation. This means ensuring that the plan and trustees fulfil the requirements and responsibilities of employees’ employment contracts, the trust deed and compliance with legislation including the Financial Markets Conduct Act 2013, the Human Rights Act and the Privacy Act. MCA provides an independent audit of a plan including: legislative compliance, administration procedures, management efficiency, investment arrangements etc.
Mergers & acquisitions
MCA provides advice on the superannuation implications associated with mergers and acquisitions, including undertaking due diligence and any resulting plan rationalisations and transfers.
Provider review and appointment & implementation efficiencies
MCA will assist in the review and appointment of all service providers associated with the day to day management of a plan. This includes administrators, insurers and investment managers. In today’s market, this includes evaluating whether a plan should be stand-alone or implemented via a master trust or multi-employer group product. MCA will also assist in the appointment process of auditors and solicitors as required.
Administration services are provided through our sister company Aventine Limited. The administration of a superannuation scheme is reasonably straightforward and generally process driven. What is important is a robust system with established routines that ensure accuracy and flexibility to let the exceptions (eg expatriates) be managed well. Committed, passionate people make the difference. The difference therefore between the outcomes of administration relates to the relationship and the interaction between the trustees, the employer and the administrators. We adopt the 5-star approach.
The 5-star approach divides the administration requirements into three standard administration functions which creates a strong foundation, to which communication and management services can be added. The standard administration functions are categorised as:
The maintenance of member records and the determination of benefit entitlements.
The preparation of financial accounts and the management of cash flow.
In each case, we provide the standard services in a tailored, highly process driven manner, while ensuring a personal interface with members. This minimises institutional risk to trustees and employers, and enhances the value-add to the service. In this context, value added relates to efficiency, low risk, cost and personal attention.
To the standard administration functions are added:
Communication with members including queries, annual reports, newsletters, member meetings and other communication.
Secretarial function, management reports, and the coordination and management of all service providers to provide seamless trustee support.
In respect of each aspect of administration, we set standards and take accountability for the smooth running of a client’s scheme.