Trustees and Other Stewards Responsible for Public and Private

AIF® Qualification Program

Accredited Investment FiduciaryTM

Trustees and other stewards responsible for public and private benefit funds will learn the higher standards of the prudent investment process being adopted globally.

Service providers will learn to add genuine value to client investment recommendations and/or demonstrate competency in their fiduciary role. “The role of an investment fiduciary is to manage process”

The recent developments in the capital markets around the world reflect the underlying groundswell of concern over current investment industry practices and the difficulty institutional investors have in forming trust appropriately.

It is worth considering some observations about this changing market place that will help put this into context. These comments apply to stewards of public and private benefit funds, as well as all service providers.

Over the last few years fi360 has gained many insights from working with these groups and listening to AIF ® course attendee concerns, some of these are summarised as follows:

Those in governance roles are being asked to demonstrate they have a fiduciary governance framework in place, and that it is effective.

1. As a result, trustees and other fiduciaries now have a heightened awareness when it comes to the due diligence requirements in selecting suppliers of investment services. This trend has accelerated for obvious market related reasons. Globally, the concept of fiduciary obligations and the assessment of service providers against a standard is taking on a heightened significance.

2. Fiduciary obligations are all about trust. Determining who to trust is a daunting prospect yet is a fundamental obligation of those with fiduciary status. Documenting the process used for selection and on-going supervision is costly in terms of time and also demands a level of competency. It is no longer acceptable for those in fiduciary roles to assess service provider or network support competency and integrity in a cursory manner.

3. Overall there has been poor definition of what being an investment fiduciary actually means. The requirement to put client’s interests first is the fiduciary standard of care, which is by definition a process standard. Investors too often select providers based on brand and personal relationships in the absence of a sound method to assess a service provider’s trustworthiness in terms of processes and procedures.

4. In such an environment, service providers struggle to differentiate themselves. The detail surrounding provision of services is frequently indistinguishable to most investors due to complexity and jargon. The usual explanations of investment offerings also fail to describe how fiduciary obligations are met. Changing the language and delivery of an explanation provides an enormous opportunity for service providers that have tuned their service to a recognised fiduciary standard.

5. In the heightened regulatory environment, more advisers are going to claim they meet fiduciary obligations, but only independent verification of this claim against a documented standard will enable investors and referral sources to form trust quickly, without the need for their own detailed review process.

6. Increasingly, regulators are scrutinizing provider procedures, to ensure clients receive appropriate advice and to assess whether selected service providers are satisfactorily undertaking essential tasks when outsourcing has occurred. They are beginning to look beyond the “claimed” governance controls and service agreements by looking into the outcomes and records at the client or service provider level to see evidence of actual implementation matching the standards claimed.

Who should become qualified?

 Trustees  Accountants  Fund Administrators & Directors  Lawyers  Investment Committee Members for:  Investment Advisors & Consultants - Superannuation Plans - Foundations & Endowments  Legislators Curriculum/Designation

2 The ACCREDITED INVESTMENT FIDUCIARY™ Program completion of the program prepares interested is a two day classroom-based course, which covers all participants to take the AIF examination and enable of the components of a comprehensive investment them to earn the AIF designation. process and related standards of care. Successful Program Agenda

(Registration from 8.30 a.m. – Course starts promptly at 9.00 a.m.)

Welcoming Session

This section of the program will cover the following topics:

1. Course Objectives 2. Designation marks and Company overview 3. Instructor introduction and bios

Fiduciary Concepts and Quality Management System

This section will introduce you to the following topics:

1. The concept of a Global Fiduciary Standard of Excellence 2. Legal issues and regulatory oversight review 3. Global Fiduciary Precepts and Fiduciary Quality Management System (FQMS) 4. International Organiszation for Standardization and our ISO-like framework 5. Assessments of fiduciary effectiveness – key elements

Stewards and Advisors (SA) Step 1: Organise

This section will cover the following topics:

1. The SA Practices associated with the first step in the FQMS– Organize 2. The Criteria that support each Practice 3. Unique components of Superannuation, charity and HNW Reviews 4. Types of fiduciaries and characteristics of a successful fiduciary

Stewards and Advisors Step 2: Formalise

1.The SA Practices associated with the second step in the FQMS – Formalize 2. The Criteria that support each Practice 3. Risk and elements to risk management 4. The need for and elements of an IPS 5. Socially Responsible Investing

Stewards and Advisors Step 3: Implement

1. The SA Practices associated with the third step in the FQMS – Implement 2. The Criteria that support each Practice 3. Due diligence philosophy 4. Minimum requirements (Course adjourns at 5.00 p.m.) Program Agenda continued…

(Day 2 commences at 8.30 a.m. and adjourns at approximately 4.00 p.m.)

Stewards and Advisors Step 3: Implement (continued)

1. The SA Practices associated with the third step in the FQMS – Implement 2. The Criteria that support each Practice 3. Due diligence philosophy 4. Minimum requirements

Stewards and Advisors (SA) Step 4: Monitor

1. The SA Practices associated with the fourth step in the FQMS – Monitor 2. The Criteria that support each Practice 3. The meaning and principles of Assessment 4. Assessment types, activities, and phases

Self-Assessment of Fiduciary Excellence (SAFE) and Consultant’s Assessment of Fiduciary Excellence (CAFE) discussion

Exercise: Practical Trustee Scenarios

Wrap-up, Course Evaluation and Review

Accredited Investment Fiduciary® Exam

Attend this program and be able to:

 Articulate the legal and regulatory environment impacting the fiduciary.

 Determine the prudent process that an investment fiduciary should follow.

 Conduct a fiduciary review.

 Prepare investment policy statements.

 Implement an investment strategy.

 Conduct due diligence on investment advisers, financial planners and fund managers.

 Implement socially responsible investment strategies.

 Monitor and supervise the activities of an investment program.

 Analyse an investment program’s expenses and fees.

 Deliver performance measurement reports.

 Customise services to different market segment

What are the past attendees saying about the AIF Training?

“ It provided a structured approach for considering thedecision making process. The resource material and support obligations of persons who invest public and private benefitprovided are of the highest standard and I would strongly funds, whether it is retirement funds, endowments,recommend to all fiduciaries that they attend this training foundations or sovereign wealth funds.” session. “

Rose Nakanaga, AIF, Chairwoman, Federated States of Mark A. Mendiola, AIF, Executive Director, University of Guam Micronesia Social Security Administration Endowment Foundation, Mangilao, Guam

“ At this time when the global investment environment is characterized by uncertainty and opportunity, the structured decision making process taught through this course assures “ The AIF program sets the standards for best practice that a trustee’s client’s best interests are well served." investment decision-making. I found it to be robust and comprehensive and of enormous benefit to anyone involved in Lourdes Bernadette M. Ferrer, AIF, trust management.” First Senior Vice President &Trust Officer, Rizal Commercial Banking Corporation Raoul V. Santos, AIF, First Vice President, “I found the course material to be superbly constructed andRizal Commercial Banking Corporation delivered, and well-tailored to fiduciary responsibilities and accountabilities. There was excellent attention to detail and emphasis on how to put the concepts into practice.” “ An internationally approved and recognized best practices processes in the management of trust funds. MPLT trustees Jack E. Yakana, AIF, Budget Officer, and staff have been attending this training on the U.S. National Congress, Federated States of Micronesia mainland for over 10 years. Having the training held in our region makes it affordable and easily accessible. All public “ Trustees can feel exposed to unknown risks when fund board members should attend.” participating in investment decisions involving trust assets. The Center for Fiduciary Studies identified risks to trustees Barbara A. Reyes, AIF, Executive Director, and developed a structured approach to follow as they are Marianas Public Land Trust, Saipan, CNMI involved in the planning, investment and monitoring of trust funds. This material is available as a straightforward training course supported by well-written materials and presented by thoughtful tutors with experience of the issues. Without “I found the AIF program extremely beneficial in providing a needing to become an expert in investment theory, a trustee comprehensive framework that I could apply both personally can now demonstrate their prudence in the area of and to my clients around investment decision making. The investment, while improving the performance of the funds resource material and support provided are of the highest they have responsibility for. I was so impressed with the AIF standard and I would strongly recommend to all fiduciary's course that I subsequently have earned the AIFA designation.” that they attend this session“ N. Oscar Miyashita, CPA, CCPS, AIFA, Graham Crombie AIF, 1st Vice President Founder, Ernst& Young (E&Y) Guam, retired NZ Institute of Chartered Accountants Former Member, E&Y Far East Executive Board

“ The AIF program sets the standards for best practice“The introduction of this program to New Zealand is like the investment decision-making. I found it to be robust andacorn that will grow into a mighty oak. For anyone with a comprehensive and of enormous benefit to anyone involved infiduciary responsibility there is now a recognised international trust management.” standard and industry benchmark against which performance can be measured. That is excellent news for those engaging such services and for those who seek to perform/deliver at Anne Stephenson, AIF, Stephenson Chartered Accountants the highest level.” “I found the AIF program extremely beneficial in providing a Clayton Stent, AIF, Lawyer comprehensive framework that I could apply to my responsibilities as executive director around the investment Accredited Investment Fiduciary Program

Registration Registration Fee: $1,900 + GST A Group Discount of 10% may be available for 5 or more registrants from the same employer or organisation.

INCLUDES:

 Delegate pack for the 2 day course, including course materials.

 Continental breakfast, served lunch and refreshments on both days.

 Accredited Investment Fiduciary Exam.

 One additional Accredited Investment Fiduciary Exam retake within one year of initial testing, as needed.

If you have any questions regarding this course: Email: [email protected] Office Telephone: + 64 7 863 5360

Internal Training for Entities

Where an organisation wishes to host an internal AIF program and is providing the venue and refreshments, IT etc., the cost for each group is by arrangement. Please contact us regarding this option – Tel: 07 863 5360 or email [email protected]

Cancellation Policy

1. Cancellations received more than 3 weeks prior to course date, will receive a full refund.

2. Cancellations received between 3 weeks to 1 week prior will receive a 50% refund, or 100% if replacement is found

3. Cancellations received within 1 week of the course will forfeit the registration fee unless a replacement is found.

Dress Code Smart casual dress is suitable for the program.