World Bank2013-04-222013-04-222012-06https://hdl.handle.net/10986/13221This report provides a comprehensive description of the full process for supporting the new supervisory authority for closed pension funds in Brazil, The National Superintendence for Pension Funds, supervisor of the closed pension fund system in Brazil, or PREVIC, in particular through the development of a revised approach to the risk-based supervision of closed pension funds. This report documents the first-funded World Bank project which, in conjunction with PREVIC, the supervisor of the closed pension fund system in Brazil (established in January 2010), has sought to provide guidance to implement a risk based supervision (RBS) appropriate to Brazilian environment, drawing on international experience. The project ran from January 2010 to March 2012. The key outputs of the project were specified as: i) an assessment of the strengths and weaknesses of the current supervisory benchmarking against best practices in RBS around the world; ii) a roadmap for the implementation of RBS under the circumstances prevailing in the industry; iii) proposals for regulations on selected critical elements for the implementation of RBS framework; and iv) training to supervisors and senior executives of closed pension funds about the main challenges of introducing RBS.en-USCC BY 3.0 IGOACCOUNTINGACTUARIAL ASSUMPTIONSACTUARIESADVERSE SELECTIONANNUITIESANNUITYASSET CLASSESASSET LIABILITY MATCHINGAUCTIONSBENEFICIARIESBOND RETURNSBUFFERSCAPACITY DEVELOPMENTCAPITAL MARKETSCAPITAL MARKETS DEVELOPMENTCHECKSCLEARING HOUSESCOMPETITIVE MARKETCONFLICT OF INTERESTCONFLICTS OF INTERESTCONSOLIDATIONCREDIT RISKCURRENCYDEBTDEFAULTSDEFICITSDIRECT INVESTMENTDISCOUNT RATEDISCOUNT RATESDISTORTIONSECONOMIC GROWTHEMERGING ECONOMIESENFORCEABILITYENFORCEMENT POWERSEQUITIESEXCHANGE RATEFIDUCIARYFINANCIAL INSTITUTIONSFINANCIAL SECTORFINANCIAL SERVICEFINANCIAL SERVICESFINANCIAL SERVICES INDUSTRYFINANCIAL SYSTEMSFIXED RATEFIXED RATESFOREIGN INVESTMENTFUND DATAFUND MANAGEMENTFUND MANAGERSGLOBAL CAPITALGLOBAL CAPITAL MARKETSGOOD GOVERNANCEGOVERNANCE ISSUEGOVERNMENT BONDGOVERNMENT BONDSHOLDINGHOLDING COMPANIESHOLDING COMPANYHOLDINGSINCOMEINFLATIONINFLATION INDEXINFORMATION FLOWSINFORMED DECISIONSINSPECTIONSINSURANCEINSURANCE INDUSTRYINSURANCE REGULATIONINSURERINSURERSINTEGRITYINTEREST RATEINTEREST RATESINTERNAL AUDITINTERNAL CONTROLSINVESTINGINVESTMENT CHOICEINVESTMENT GOVERNANCEINVESTMENT INSTRUMENTSINVESTMENT MANAGERSINVESTMENT MARKETINVESTMENT POLICIESINVESTMENT POLICYINVESTMENT PORTFOLIOSINVESTMENT PROCESSINVESTMENT PRODUCTSINVESTMENT REGULATIONINVESTMENT RESTRICTIONSINVESTMENT RISKINVESTMENT RISKSINVESTMENT STRATEGIESINVESTMENT STRATEGYJURISDICTIONSKEY RISKKEY RISKSLACK OF TRANSPARENCYLEGAL RISKLEVEL OF RISKLIABILITYLIABILITY SIDELIQUID ASSETSLIQUIDITYLIQUIDITY RISKLONG-TERM INVESTMENTLOW INFLATIONMARKET CONDITIONSMARKET PRICESMARKET RATEMARKET RISKMARKET RISKSMATURITYMISALIGNMENTMONETARY FUNDNON-BANKOPERATIONAL RISKOPERATIONAL RISKSOUTPUTSPENSIONPENSION FUNDPENSION FUND INVESTMENTPENSION FUND MANAGEMENTPENSION FUNDSPENSION LIABILITIESPENSION PLANSPENSION SUPERVISIONPENSION SYSTEMPENSION SYSTEMSPENSIONSPORTFOLIOPORTFOLIO CHOICEPORTFOLIOSPRIVATE PENSIONPRIVATE SECTOR DEVELOPMENTPROFIT MARGINSPROFITABILITYPRUDENTIAL SUPERVISIONRATES OF RETURNRE-INVESTMENTREAL ESTATEREAL INTERESTREAL INTEREST RATESREGULATORREGULATORSREGULATORY AUTHORITYREGULATORY REGIMESRELATIVELY LOW INFLATIONREMOTE LOCATIONSREPUTATIONRESERVERESERVESRETURNRETURN ON ASSETSRETURNSRISK ANALYSISRISK ASSESSMENTRISK ASSESSMENTSRISK EXPOSURERISK FACTORSRISK MANAGEMENTRISK MANAGEMENT SYSTEMSSOLVENCYSUPERVISORY AUTHORITYSURPLUSSURPLUSESSUSTAINABILITYSWAPSWAP CURVESYSTEMIC RISKTAXTECHNICAL ASSISTANCETRADESTREASURYTREASURY BONDTRUSTEESUNCERTAINTIESVALUATIONVALUATIONSVOLATILITYWITHDRAWALWorld Bank10.1596/13221