Page 34 - Bulletin, Vol.80 No.2, September 2021

BOARD CONCLUDES, CONFIRMING EXCELLENT

PERFORMANCE OF THE UN PENSION FUND

30 July 2021

Recognizing the excellent financial health and operational performance of the UN Joint
th
Staff Pension Fund (UNJSPF), the 69 session of the UN Pension Board concluded
today, approving the Fund’s 2022 administrative budget, its 2020 financial statements
and assumptions for the next actuarial valuation at 31 December 2021. The Pension
Fund also made recommendations to the UN General Assembly on governance reforms
to improve the effectiveness of the Board and changes in the Fund’s Regulations.

“The Board had a full agenda and made decisions on key items,” said Mr. John Levins,
Chair of the Pension Board. “Importantly for our participants, retirees and beneficiaries,
the Board was pleased that despite the COVID-19 pandemic in 2020, more than 90% of
initial pensions were processed within 15 business days; pensions were paid on time;
and investments showed a real rate of return of 4.84%, well above the 3.5% long-term
target.”

“I thank the Pension Board for its continuous support to our modernization efforts,” said
Ms. McClean, Chief Executive of Pension Administration, “The 2022 budget is aimed at
strengthening our frontline services for the benefit of the Fund’s clients, with more staff
dedicated to this function and a modern Customer Relationship Management (CRM)
system.”

“I am grateful to the Board for endorsing our investment strategy, in a volatile
environment where safe performance becomes more challenging,” explained Mr.
Guazo, Representative of the Secretary-General for the investment of the Assets of the
Fund. “We need now to combine profitability and sustainability, consistent with the UN
Sustainable Development Goals.”

The Board approved the 2020 audited financial statements, after reviewing the report
of the United Nations Board of Auditors (BoA). “The BoA issued an unqualified (clean)
opinion on the Fund’s financial statements, so everyone can have full confidence in the
Fund’s accounts,” stated Chief Financial Officer Mr. Karl-Ludwig Soll.

The Board endorsed the assumptions for the next actuarial valuation as at 31
December 2021, which will be reviewed by the Board in 2022. The Board took note that
the Fund’s Solvency Monitoring Dashboard as of 31 December 2020 had no high risks
requiring immediate action.

On governance, the Board adopted a series of proposals on attendance of Board
members with and without voting rights, frequency of meetings and efficiency measures
aimed at improving the effectiveness of its oversight and decision-making process.
Changes to the regulations were adopted to establish an ethics policy that complements
its code of conduct.

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