Directives of the Superintendent – FAQs

Summary

The document provides a set of FAQs related to portability transfers and buy-out annuity purchases for pension plans subject to the Pension Benefits Standards Act, 1985. The main topics covered include:

Portability transfers: The conditions and requirements for transferring a pension benefit to a locked-in vehicle or another pension plan.
Buy-out annuity purchases: The conditions and requirements for purchasing an immediate or deferred life annuity.
Negotiated contribution plans: The portability conditions and requirements specific to negotiated contribution plans.
Multi-jurisdictional pension and negotiated contribution plans: The portability conditions and requirements for plans that cover members from multiple jurisdictions.

The FAQs provide answers to questions such as:

Whether portability transfers are subject to any conditions?
How to calculate the transfer value and solvency ratio for portability transfers.
What happens if a plan administrator decides not to transfer a member's commuted value?
How to measure the aggregate limit for portability transfers.
* Can the Superintendent impose different conditions or reintroduce a portability freeze?

Overall, the document aims to provide a clear understanding of the portability transfer and buy-out annuity purchase rules for pension plans subject to the Pension Benefits Standards Act, 1985, and to provide guidance on how to comply with these rules.