Superannuation Industry (Supervision) Regulations 1994

PART 9 - FINANCIAL MANAGEMENT OF FUNDS  

Division 9.2 - Financial position of funds  

REGULATION 9.03   SUBSECTION 130(1) OF THE ACT ETC - OBLIGATIONS OF ACTUARIES AND AUDITORS  

9.03(1)   [Inadequate value of assets to be considered]  

In forming an opinion for the purposes of paragraph 130(1)(a) of the Act or subregulation 9.31(3) whether the financial position of a defined benefit fund may be about to become unsatisfactory, a person must consider whether, at the end of the 3-year period immediately following the date at which the person's calculations are done, the value of the assets of the fund is likely (based on the expectations referred to in subregulation (2)) to be inadequate to meet the value of such of the liabilities of the fund as relate to the benefits vested in the members of the fund.

9.03(2)   [Basis for likelihood of inadequate value]  

For the purposes of subregulation (1), the likelihood of the value of assets being inadequate must be based;

(a) if the person considering the matter is a superannuation actuary - on the actuary's reasonable expectations; and

(b) if the person considering the matter is a superannuation auditor - on the reasonable expectation of a superannuation actuary on whose advice the auditor has relied in relation to the matter.

9.03(3)   [Section 130(1)(a) of Act not affected]  

Nothing in subregulations (1) and (2) is to be taken to affect the meaning of paragraph 130(1)(a) of the Act.

9.03(4)   [Actuarial function deemed performed]  

For the purposes of paragraph 130(1)(b) of the Act, if a superannuation actuary in the course of performing a function for an entity under the Act or these regulations obtains sufficient information to enable the actuary to assess the financial position of the entity, the actuary is taken to have performed an actuarial function under the Act or these regulations in relation to the entity.

9.03(5)   [Audit function deemed performed]  

For the purposes of paragraph 130(1)(b) of the Act, if a superannuation auditor in the course of performing a function for an entity under the Act or these regulations obtains sufficient information to enable the superannuation auditor to assess the financial position of the entity, the superannuation auditor is taken to have performed an audit function under the Act or these regulations in relation to the entity.