The meaning of Certified Pension Actuary System
The object is to make sure that finances of corporate pension systems and the like are operated based on the appropriate pension actuarial matters, and by this, to protect Pension Receiving Rights.
The points of Certified Pension Actuary System
- The Certified Pension Actuary System was introduced, under the purpose to maintain the financial soundness of Employee's Pension Funds, in 1988 by an amendment to the Employee's Pension Insurance Act. The system has also been applied to National Pension Funds since 1991 and Defined Benefit Corporate Pension Plans since 2002.
- A Certified Pension Actuary is required to evaluate, sign, and seal actuarial reports that have been submitted to the Ministry of Health, Labour and Welfare from Employee's Pension Funds, National Pension Funds, and Defined Benefit Corporate Pension Plans.
- Especially, The Appointed Certified Pension Actuary System has been introduced for the Employee's Pension Funds. Each fund is required to appoint a Certified Pension Actuary. The Appointed Pension Actuary is required to evaluate the above-mentioned reports, check the financial conditions of the fund, and advice on the fund's financial operations.
Qualifications of Certified Pension Actuaries
An applicant is required to meet the following four qualifying conditions and to be registered on the list of names of Certified Pension Actuaries that the Ministry of Health, Labour and Welfare keeps.
- Basic knowledge: Fellow of the Institute of Actuaries of Japan
- Experience and practice in pensions: at least 5 years
- Experience in managerial or supervising position: at least 2 years in the area of actuarial valuation and reporting for pension plans
- High public trust
- A person who the Minister of Health, Labour and Welfare recognizes he/she has equal or more knowledge and experience compare to a person who meets 1.～4.