Retirement Provision Certificate Diploma in Employee Benefits and Retirement Savings Retirement Provision Diploma Advanced Diploma in Retirement

Transcription

1 Retirement Provision Certificate Diploma in Employee Benefits and Retirement Savings Retirement Provision Diploma Advanced Diploma in Retirement Provision

2 diarydates 1 June 2011 Beginning of membership application period for subscription year commencing 1 September Individuals applying for membership from 1 June will be eligible to sit examinations in April September 2011 Annual subscription due 14 October 2011 Start of distance learning courses for April 2012 examinations. Assignments can be submitted from this date onwards until deadline. Friday 20 January 2012 April 2012 examination entry closing date. This is also the closing date to become a member of the PMI for eligibility to sit the April 2012 examinations. March 2012 Revision courses in preparation for April 2012 examinations. Friday 16 March 2012 Closing date for submission of distance learning assignments to tutors Thursday 29 March 2012 Examination admission permits should have been received by all candidates Week commencing Examinations modules 101, , 301, 302, 304 and 305/Module 2 16 April May 2012 Start of distance learning courses for October 2012 examinations. Assignments can be submitted from this date onwards until deadline. July 2012 Publication of April 2012 examination results Friday 20 July 2012 October 2012 examination entry closing date. This is also the closing date to become a member of the PMI for eligibility to sit the October 2012 examinations 1 September 2012 Annual subscription due September 2012 Revision courses in preparation for October 2012 examinations Friday 7 September 2012 Closing date for submission of distance learning assignments to tutors Thursday 27 September 2012 Examination admission permits should have been received by all candidates Week commencing Examinations modules 101, and 303/Module 1 15 October 2012 December 2012 Publication of October 2012 examination results All individuals should note that the CLOSING DATES for membership application and examination entry WILL NOT BE EXTENDED

3 contents Section 1 Introduction 4 Section 2 Registration & Membership 7 Section 3 Membership 8 Section 4 Retirement Provision Certificate 9 Section 5 Diploma in Employee Benefits & Retirement Savings 12 Section 6 Advanced Diploma 200 and 300 Level Examinations 13 Section 7 Examination Entries in Section 8 Study for Advanced Diploma 200 and 300 Level Examinations 16 Section 9 Advanced Diploma 200 and 300 Level Syllabuses 18 Section 10 Subscriptions and Fees 2011/12 30 The Pensions Management Institute PMI House 4-10 Artillery Lane London E1 7LS Telephone: Fax: education@pensions-pmi.org.uk

4 1 introduction The Advanced Diploma in Retirement Provision This handbook gives full details for the Advanced Diploma in Retirement Provision qualification which is a comprehensive and in depth qualification for retirement benefit professionals. It is the qualification component for the Associate grade of membership of the Institute (APMI). There are many benefits to be gained from studying for and attaining the qualification these include the body of knowledge and understanding gained and its application to practical situations, a demonstrated commitment to learning and development, and enhanced status, confidence and opportunities for career progression. Undertaking the qualification places demands on students and to help with these PMI offers a variety of study support which is outlined later in this handbook. PMI also offers a range of other qualifications and certificates for administrators, trustees, international benefit specialists and those for whom pensions is just part of their work. Further details can be obtained from the website and in the PMI Qualifications overview brochure. Whatever your degree of involvement with pensions and employee benefits and your future career goals there should be a qualification to meet your needs. The Pensions Management Institute (PMI) PMI was formed in 1976 to promote professionalism amongst those working in the field of pensions. Today, it is acknowledged as the Institute for pensions professionals. The objects of the Institute are set out in detail in its Articles of Association. These include the provision of study and examination facilities leading to a nationally recognised qualification which embraces all aspects of the law and practice relating to the management of schemes, the provision of a professional body for its members, together with a range of services normally associated with such a body, and the encouragement of the exchange of ideas, information and advice on all aspects of the management of pensions schemes. Membership Membership of PMI is on an individual basis and is open to those involved with any aspect of pension scheme management or administration. There are five grades of Membership: Student an introductory grade which is open to those wishing to study for the Institute s qualifications. Registration as a Student confers no voting rights. There are no designatory initials for Students. Those who wish to sit the Retirement Provision Certificate and Advanced Diploma in Retirement Provision 200 and 300 level modules must be Student Members. Certificate these grades of Membership are open and Diploma to those students whohave passed appropriate PMI examinations from the qualifications framework. These members are entitled to use the designations CertPMI and DipPMI as appropriate. These grades of membership hold no voting rights. These grades were introduced in 2011 and Diploma Member replaced the grade of Ordinary Member*. Please note: Anyone who is currently an Ordinary Member will become a Diploma member An individual has until 31 December 2012 to upgrade to Diploma membership by virtue of meeting the previous Ordinary membership criteria (* Ordinary membership, under the previous criteria, was grade of membership open to those who successfully gained 220 credits from passing units/modules within the PMI qualification framework or from accreditation of prior learning)

5 Associate a grade of Membership open to those who have completed successfully the Institute's Advanced Diploma examinations and who have had a period of not less than three years practical experience in the UK or the Republic of Ireland either in the management or administration of a pension scheme, or in the capacity of an adviser to a scheme, or in any other field which the Council of the Institute considers appropriate. An Associate of the Institute is entitled to use the letters APMI after his/her name. This flexibility is accomplished by the allocation of credits to each individual unit/module of PMI qualifications (see the PMI Qualifications overview brochure or the website for further details) these credits can be built up into qualifications and carried on to further studies. For example a person who has completed units from the qualifications for administrators who goes on to Advanced Diploma studies can take credits with them meaning that they then have an element of choice in which Advanced Diploma modules to undertake to best match their current role and future career aspirations. Therefore they may not to have to do all the 200 level modules but only choose those most relevant for them. Fellow the most senior grade of Membership which Associates may be elected to after completion of three years continuous CPD and at least five years as an Associate. Fellows are also expected to make a worthwhile contribution to the broader understanding, appreciation and development of pensions.. A Fellow of the Institute is entitled to use the letters FPMI after his/her name. Those elected as Fellows, Associates Diploma or Certificate Members are only entitled to describe themselves as such or use the designatory initials whilst they are in active membership. This entitlement ceases if a Member resigns or lapses his/her membership. Code of Professional Conduct All PMI Members, Fellows, Associates, Diploma, Certificate Members and Students, are required to adhere to the PMI Code of Professional Conduct which is published on the website. All Members are advised to read this carefully. PMI Qualifications Framework The qualifications framework was introduced in It introduced greater flexibility, within an integrated qualifications framework that includes all PMI qualifications, and encourages and supports progression and career development. This framework gives individuals and their employers greater flexibility in the selection of appropriate learning and assessment and the building of qualifications and entitlement to Member grades. Retirement Provision Certificate (RPC) RPC demonstrates that the holder has a broad understanding of the issues surrounding retirement provision. It is obtained by passing a two hour multiple choice examination. It is designed to meet the needs of a wide range of people including those starting out on a career in pensions or a related area; those whose work involves one particular aspect of retirement provision eg investment, accounting, legal; and those whose job requires a broad understanding of the principles underpinning retirement provision. It is available separately and is also first module of the Advanced Diploma examinations. Diploma in Employee Benefits and Retirement Savings (DEBRS) This Diploma builds on the foundation provided by the RPC which forms the first module. Those who have completed RPC may proceed to undertake the Diploma. In addition to Module 101 RPC it comprises two further modules: Module 201 Providing for Retirement and Module 301 Employee Compensation & Benefits. It forms an integral part of the Advanced Diploma. This qualification is also ideal for those working at the margins of pensions who need to understand pensions in the wider savings and employee benefits context. The aim of this diploma is to provide holders with a comprehensive background to employee benefits and savings in the UK. This will equip them for work in pensions and allied areas and can lead to further study in these areas or toward completion of the Advanced Diploma

6 Retirement Provision Diploma (RPD) The Retirement Provision Diploma (RPD) is awarded automatically to those passing modules 101 and RPD rewards and acknowledges the completion of the core pensions technical modules and forms a qualification in its own right. RPD holders are expected and encouraged to go on to complete the Advanced Diploma. It is only awarded to those who have passed the relevant modules and/or those who have claimed any module specific credit under the accreditation of prior learning system. Those who have successfully completed the Diploma may apply for election as Diploma Members of the Institute Diploma in Pensions Administration (DPA) aimed at more experienced administrators and Certificate in Pension Calculations (CPC) an examination based qualification manually calculating and quoting benefits. Further details can be found on the website. PMI website The PMI website carries full details of the qualifications, many downloadable forms and details of other Institute services. Customer Service PMI has published a customer service statement and this can be found on the website. Diploma in International Employee Benefits This Diploma, developed in partnership by PMI and the International Employee Benefits Association (IEBA). Holders of this Diploma are entitled to use the designatory initials Dip.IEB. The same syllabus, study material and examination papers for Modules One and Two of the Diploma are also Advanced Diploma modules 303 and 305. Therefore, those who complete Module 303 and 305 as part of the Advanced Diploma in Retirement Provision will also complete this Diploma. Those who have successfully completed the Diploma may apply for election as Diploma Members of the Institute. Awards in Pension Trusteeship (APT) examinations These qualifications were developed from the Pensions Regulator s trustee knowledge and understanding work. They take the form of multiple choice examinations. Qualifications for Pension Scheme Administrators The Pensions Management Institute is the Awarding organisation for a number of qualifications designed specifically for pension scheme administrators whether they work in the public or private sector. They are as follows: Award in Pensions Essentials (APE) aimed at total newcomers to the industry, Certificate in Pensions Essentials (CPE) aimed at new employees as they extend their knowledge, Certificate in Pensions Administration (CPA) aimed at less experienced pensions administrators,

7 2 registration & membership Advanced Diploma Registration To undertake the Advanced Diploma examinations you must be a Student, Certificate or Diploma Member of PMI if you are not already a member. If you have any queries on the application process please contact PMI House. Eligibility for Membership There are no minimum educational qualifications for entry to Student membership but PMI is keen to ensure that those who begin their studies are capable of the passing the examinations that they wish to undertake. It is recommended that potential students have at least two A Levels together with GCSE English Language and Mathematics or their equivalents. The majority of those starting Advanced Diploma studies have degrees. Other qualifications within the PMI qualifications framework are also relevant. There are a number of criteria to become a Certificate or Diploma Member. These may include PMI qualifications that have been achieved previously or another professional qualification. Full details can be found on the website. Membership Application Documentation In order to apply you should obtain from PMI an application form for Student, Certificate or Diploma Membership. This must be completed and returned together with a cheque to cover the application fee and the annual subscription (payment can also be made by BACS or credit card) and any supporting documentation. Timing of Application for Membership Applications for Student, Certificate or Diploma Membership may be submitted and will be considered throughout the year. It is in the interest of all potential Advanced Diploma Students to submit their application early to allow adequate time for processing and sufficient study If you wish to enter for examinations in April of any year you should submit an application in the late summer of the preceding year. If you wish to enter for examinations in October of any year you should submit an application in the early spring of that year. This will allow you a full six months to study for the examinations. All documentation necessary to complete the application process for Student, Certificate or Diploma Membership must reach PMI by Friday 20 January Those applying after this date but before Friday 20 July 2012 may enter for the October 2012 examinations (the annual subscription will also be due on 1 September 2012). Applications received after 20 July 2012 will be dealt with on the basis that they will be entering for examinations in Application as a Student, Certificate or Diploma Member does NOT constitute an examination entry. Applicants are asked not to order study material when submitting their documentation for Student, Certificate or Diploma Membership. Acceptance You should expect to receive acknowledgement from PMI within ten working days of submitting your application for Membership as a Student, Certificate or Diploma Member. Accreditation of Prior Learning PMI is prepared to consider granting prior learning credits in respect of professional qualifications, or examinations that are part of other qualifications, awarded by other bodies. Further details and a list and application form are available from the PMI website. Holders of professional qualifications and degrees not listed are asked to submit a syllabus and allow at least six weeks for its consideration. Those who as apply to become Diploma Members on the basis of professional qualifications awarded by other bodies obtain the relevant number of credits as part of their application. Details of these qualifications and associated credits can be found on the website. If you are applying for credits in respect of one of the qualifications detailed on the list you should submit the appropriate fees at the time of application. For qualifications not listed it is suggested that only the syllabus be made available initially. Should an individual sit, but fail, an Advanced Diploma examination, a credit from that module, on the basis of another qualification, cannot later be claimed

8 3 membership Continuing as a Student, Certificate or Diploma Member Once you have registered you will continue in Membership providing you pay the annual subscription ( 95 for Students, 125 for Certificate Members or 160 for Diploma Members in 2011/12). The annual subscription is payable in advance on 1 September each year. As a Member of PMI: you are eligible to study and enter for the Advanced Diploma examinations you will receive a copy of PMI News on a monthly basis you are eligible to attend conferences and seminars at preferential rates Regulations As a PMI Member you are required to adhere to the Code of Professional Conduct and to the Governance Document. Lapsed Membership If a Member does not pay the annual subscription his/ her Membership will lapse. Any lapsed Member wishing to rejoin is asked to contact PMI House to discuss the procedure. Certificate & Diploma Members Certificate and Diploma Members of PMI are also eligible to sit the Advanced Diploma examinations and do not need to complete Student registration separately. you are eligible to apply for reduced subscriptions to certain publications you are eligible to access the PMI Extra website Also Certificate Members are entitled to use the designatory initials CertPMI and Diploma Members are entitled to use the designatory initials DipPMI

9 4 retirement provision certificate Introduction The Retirement Provision Certificate (RPC) is available as a separate certificate and also forms module 101 for the Advanced Diploma examinations. It provides a broad understanding of retirement provision and provides a sound basis for further study. Registration In order to sit RPC it is necessary to be a Member of the PMI. Registering as an RPC student when ordering study material includes Student Membership of the Institute for those who are not already Members. In subsequent years it will be necessary to pay the relevant annual subscription in order to maintain membership and sit further Advanced Diploma examinations. Form of the examination The syllabus is examined by a two hour paper. The examination paper is in the form of multiple choice questions designed to test retirement provision knowledge across the syllabus. Each question on the examination paper scores one mark. All questions should be attempted; there is no difference in marking between a wrong answer and one left unanswered. Examples of questions can be found on the PMI website. There are no past papers available for RPC. Online learning A comprehensive online learning system (price VAT for an access key) has been produced. It is designed for self study and it is recommended that approximately hours should be spent on study before sitting the examination. An order form can be found on the PMI website or is available from PMI House. It is possible to enter the examination without participating in the online learning, and indeed to purchase an access key to the online learning, for reference purposes, without an intention to sit the examination. Further reading Whilst the online learning is designed to be comprehensive further reading is recommended. The quality daily press and the weekly and monthly pensions publications will all be of benefit to those preparing for the examination. There is much information on websites and the links page on the PMI website is a good place to start. A comprehensive glossary of pensions terms can be found in the PMI/PRAG publication Pensions Terminology which can be purchased from PMI House and also accessed from the website. Revision Courses PMI holds revision courses immediately before the April and October examinations. The courses are generally half day sessions. Full details of the courses and application forms are available on the website. Training Courses There are a number of commercially run courses covering basic retirement provision and PMI is building up a list. Course providers are therefore invited to send their details to PMI House. For a copy of the list please visit the website. Syllabus The syllabus areas are grouped under fifteen main headings and a glossary. The syllabus is presented in a form which is intended to give the reader an indication of the depth and breadth of knowledge required. It is divided into sections with an initial statement indicating what is expected of candidates and some notes in italics which give an indication of the way in which the initial statement should be interpreted. The initial statement uses key words in heavy type to indicate the depth and/or breadth of knowledge which is required. The key words should be interpreted as follows: analyse interpret and examine in detail define make clear the exact meaning demonstrate explain or prove by reasoning/example describe give a detailed account of distinguish mark the difference between evaluate determine the value explain make clear or intelligible; illustrate the meaning of identify demonstrate what something is outline brief general explanation; summary without detail understand comprehend; have a thorough knowledge of The syllabus and the examinations in 2012 are based on the law and practice of the United Kingdom as it existed on 6 April

10 Aims To provide an essential knowledge and understanding of retirement provision in the UK. To provide a foundation for those who plan to develop a career specialising in one aspect of retirement provision or for those seeking a broad understanding of the subject. The candidate must be able to: 1 understand the UK pensions industry 1.1 explain the origins and overview of pensions in the UK personal work/group related State NEST 1.2 analyse the parties involved in the pensions industry organisations professions government departments regulatory bodies individuals employers interaction between pensions, payroll and HR 1.3 explain the concept of the employment package remuneration and the employment package flexible benefits 1.4 demonstrate an awareness of the current pensions scene in the UK forthcoming legislation 2 understand the role of Government in retirement provision in the UK 2.1 explain the role of Government 2.2 describe and distinguish between State benefits in the UK contributions level of benefits funding contracting out 2.3 summarise the regulation of retirement provision the Pensions Regulator Financial Services Authority 3 understand the role of occupational pension schemes in retirement provision in the UK 3.1 analyse the design of occupational pension schemes in the UK types of occupational pension scheme eligibility/auto enrolment retirement benefits trivial commutation leaving benefits ill health benefits death benefits contracting out 3.2 analyse the funding of occupational pension schemes background to funding parties involved actuarial valuation process reporting and accounting 3.3 explain the concept of trusteeship concept of a trust governing documents role and responsibilities of trustees trustee knowledge and understanding (TKU) the Pensions Regulator s requirements role and responsibility of the secretary to trustees taxation/incentives historic limits HMRC allowances regulation/controls

11 3.4 evaluate the importance of communications and administration importance of communication record keeping and standards disclosure dealing with members 4 understand the role of individual provision in the UK 4.1 explain the different types of individual pension contracts personal stakeholder SIPPs securing benefits additional voluntary contributions 4.2 evaluate the options for personal savings personal investments alternative investments insurances 5 understand the role and nature of investment in UK retirement provision RPC Registration In order to register as an RPC student it is necessary to complete an application form when ordering study material. Registration as an RPC student by ordering study material includes the first annual subscription (or part thereof depending when you first register) for Student membership of PMI. In order to maintain your membership and sit further examinations you will need to pay your subscription when it falls due on 1 September following your first registration. Further details can be found on the website. RPC Examination Entry Procedures An examination entry form can be found on the PMI website or is available from PMI House. The examination takes place in the examination weeks detailed at the start of this book and all entry, permit and results dates there apply. The examination is available at the same centres as the 200 and 300 level examinations. The fee is 145 per examination entry. The examination is also available on demand to groups of ten or more candidates. Visit the PMI website or contact PMI House for further details. 5.1 explain the considerations when investing for retirement provision risk v return asset allocation management performance measurement 5.2 describe the different investment classes equities bonds cash property alternative investments insurance policies pooled investment vehicles Glossary of Terms

12 5 diploma in employee benefits and retirement savings Introduction The Diploma in Employee Benefits and Retirement Savings (DEBRS) is available as a separate diploma and also forms an integral part of the Advanced Diploma. It comprises Module 101 RPC, Module 201 Providing for Retirement and Module 301 Employee Compensation and Benefits. It builds on the foundation provided by the RPC and is ideal for those working at the margins of pensions who need to understand pensions in the wider savings and employee benefits context. Registration The first Module of the DEBRS is the RPC. In order to sit DEBRS it is necessary to be a Member of PMI. Registering as an RPC student when ordering study material includes Student Membership. In subsequent years it will necessary to pay the relevant annual subscription in order to maintain membership and sit further DEBRS modules. Please note if you have sat and passed the RPC post 2006 it will NOT be necessary to sit the examination again. However any passes or credits gained for Modules 201 and 301 pre 2012 do not qualify towards obtaining the full qualification. Structure of the DEBRS The structure of the DEBRS is shown below. It is necessary to pass all three modules to be awarded the full qualification. Module 101 Retirement Provision Certificate Module 201 Providing for Retirement Module 301 Employee Compensation & Benefits Study A comprehensive online learning programme has been produced for Module 101 RPC. It is designed for self study and it is recommended that approximately hours should be spent on study before sitting the examination. A comprehensive study material package has also been produced for each Module 201 and 301. The package consists of a study manual and access to a web based distance learning course, which includes a series of assignments, mock examinations, tutorial facilities and feedback from a tutor. Sample RPC questions can be found on the PMI website. Past papers for Modules 201 and 301, under their previous titles (Module 201 Pension Arrangements and Module 301 Total Remuneration) are available on the website. The various forms of study support for each module are covered in detail in this Handbook. Please read the relevant sections. Revision Courses PMI holds insightful half day revision courses for each module immediately before the April and October examinations. The courses are held in central London and further information can be found on the PMI website. Syllabus The syllabuses for each module are covered individually and in detail in this Handbook. Please read the relevant sections. Module 101 is examined by a 2 hour multiple choice examination. Modules 201 and 301 are each examined by a three hour written examination. Examinations for Module 101 and Module 201 are held in April and October each year. Module 301 is examined in April only

13 6 advanced diploma 200 and 300 level examinations Aim of the Examinations The overall aim of the PMI Advanced Diploma examinations is to provide holders with the professional knowledge, skills and understanding required to undertake, after sufficient experience, a position as a pensions specialist within a self-administered scheme or a third party administrator or a life assurance company or the consulting and advisory services. Objectives of the Examinations The examinations will be set to test the ability of candidates to: recall facts, terms and definitions; demonstrate understanding of the syllabus content and concepts; apply the principles learnt to solve problems; analyse facts and use them to make generalisations, predictions and recommendations; draw conclusions from information provided; communicate effectively in writing. Form of the Examinations Each 200 and 300 level module will be examined by a three hour paper. The syllabuses are arranged broadly in increasing order of difficulty and some of the later modules are dependent upon a working knowledge of the earlier ones. Candidates are therefore recommended to attempt the modules in numerical order. However, some Students very new to pensions work may find taking Modules 203/204 before 202 sensible as they may more closely mirror day to day work and experience. It is suggested that at the first sitting the student should undertake one or two modules and at later sittings no more than two modules. The eleven modules are: 100 Level Examinations 101 Retirement Provision Certificate (RPC) The introductory and compulsory examination for all Advanced Diploma candidates. 60 credits in the PMI qualifications framework. 200 Level Examinations 201 Providing for Retirement 202 Legal Issues Relating to UK Pension Arrangements 203 Defined Benefit Schemes 204 Defined Contribution (Trust & Contract) Arrangements 205 Investment 100 credits each within the PMI qualifications framework. The Retirement Provision Diploma (RPD) is awarded on completion of the 100 and 200 level examinations. 300 Level Examinations 301 Employee Compensation & Benefits 302 Management, Risk & Governance 303 International Effective Communication 305 International credits each within the PMI qualifications framework. To complete the Advanced Diploma examination requirement candidates need to pass a minimum of three 200 level modules and three 300 level modules. This element of choice exists to allow some specialisation to reflect current jobs or future career plans. Due allowance will be made for those receiving credits via the Accreditation of Prior Learning arrangements credits have to be achieved for the Advanced Diploma; Module 101 (or its equivalent in previous syllabuses) three 200 level modules and three 300 level modules have to be included

14 The examinations will be based on English law and practice, except where the syllabus states otherwise, and it will be assumed that examination answers have been made in accordance with laws of the United Kingdom. The examinations in 2012 will be based on the law as it existed at 6 April An awareness of any significant changes after 6 April will be to a candidate s advantage. In Module 304 Effective Communication candidates will be expected to be fully conversant with current pensions and employee benefits issues

15 7 examination entries in 2012 Entry for the examinations is separate and distinct from a membership application or enrolment for a distance learning course. Examination Entry Forms The examination entry form is changed each session so you must ensure that your examination entry is made on the correct 2012 examination entry form. The forms will be sent to all registered Students with the November and June editions of PMI News. The form is also available on the website. You are advised to complete the examination entry form and return it to PMI together with the appropriate fee by return of post (unless the entry is dependent on results still to be issued). The last date for receipt of examination entries for the April examinations is Friday 20 January and for the October examinations Friday 20 July. Under no circumstances can entries be accepted after this date. Acknowledgements All examination entry forms will be acknowledged. If you have not received your acknowledgement a few days before the relevant closing date, please contact PMI immediately. Your entry form may have been lost in the post and late entries cannot be accepted. Students are advised to check their acknowledgement carefully. Examination Centres There are forty examination centres across the United Kingdom and Republic of Ireland. A full list is included with the examination entry forms. There are some centres overseas, details of which are available on request, but it should be noted that special fees and earlier closing dates may well apply. Occasionally examination centres are oversubscribed and in such cases it is necessary to restrict admission to these centres. Places will be allocated on a first come first served basis. Candidates must give a second choice examination centre when completing the entry form. Publication of Results Results are despatched to candidates as soon as they are available which should be mid July for the April examinations and late December for the October examinations. PMI reserves the right to publish examination results whether successes or failures. PMI will not communicate results to a candidate s employer. October 2012 examination results will not be issued to any candidate who fails to pay his/her annual subscription due on 1 September 2012 and whose Membership therefore lapses. Examination Admission Permits An admission permit and instructions to candidates are normally sent by two weeks before the examinations take place. If you have not received these documents by Thursday 29 March or Thursday 27 September you should contact PMI immediately because you will not be admitted to the examination centre without them Examinations The examinations for modules 101, and 301, 302, 304 and 305 will be held in the week commencing 16 April, and for modules 101, and 303 in the week commencing 15 October. The precise timetables will be carried in PMI News, on the PMI website and in the regulations accompanying the examination entry form

16 8 study for advanced diploma 200 & 300 modules Once you become a Student, Certificate or Diploma Member you will need to decide on the way in which you are going to study for the examinations. The following paragraphs give details of the aids to study and the forms of study support available to you. You are advised to begin studying in October of the year preceding the examinations in April and in May for the examinations in October. The purchase of study material does NOT constitute an examination entry. A Guide to Studying and Preparing for the Examinations This practical introductory booklet on studying for the Advanced Diploma can be downloaded from the PMI website. Study Material PMI is very pleased to be working with leading companies in managing or advising UK pension schemes, acting as study support partners, to offer an enhanced study support service and produce the study material packages. This arrangement operates under the banner Shaping the Pensions Professionals of Tomorrow and further details can be found on the website and in the study materials. The Study Support Partners for 2011/2012 are: Aon Hewitt Barnett Waddingham Buck Consultants Capita Hartshead Eversheds JLT Benefit Solutions Mercer Trustee Solutions Limited The study materials for Modules 303 and 305 International 1 and 2 are produced in collaboration with the International Employee Benefits Association. There are two options, the study material package and the updated study material package, described below: (i) Study Material Package PMI produces a study material package for each module for the April and October examinations. The package consists of a study manual and access to a web based distance learning course, which includes a series of assignments, mock examinations, tutorial facilities that include feedback from a tutor. The course for April examinations begins in September and finishes in March. The course for the October examinations begins in May and ends in September. In order to gain maximum benefit from the assignments course a planned method of study should be followed with completed assignments being submitted regularly. Further details of the operation of the course can be found on the website and in the online instructions which accompany it. (ii) Updated Study Material Package This is only available to those who ordered a study material package for the previous year. This package is the same as the Study Material Package but is offered at a reduced price. Further details of the operation of the course can be found on the website and in the online instructions which accompany it. An order form can be found on the website. Mock Examination There is an opportunity as part of the study material package to complete a hand written mock examination and submit it to a tutor. Students are recommended to take advantage of this facility. Full details can be found within the study material package. Communication Booklet A short introductory booklet on communication for all Students is available to download from the PMI website. It is recommended that all Students familiarise themselves with this booklet from the outset of PMI studies. Colourboxx A fictitious company, Colourboxx, has been devised as a basis for contextual examples in the study manuals and assignments. It is not used in the examinations. Details of the company are on the PMI website

17 Revision Courses and Lecture Courses PMI holds revision courses in central London immediately before the April and October examinations. The courses consist generally of half day sessions, each session being devoted to one module. Lecture courses are also held in some modules. These normally consist of two sessions; one at the beginning and one at the end of the study period. Full details of these courses and application forms can be found on the website. Studentweb Studentweb is an online discussion forum for all those studying for PMI examinations. It provides the opportunity to put forward personal views, ask the opinions of peers and seek helpful advice. All students are sent details of how to access Studentweb. PMI TV PMI TV is an online TV channel offering a selection of topical, relevant and informative programmes for pensions professionals. LinkedIn and Twitter There is a PMI presence on LinkedIn and Twitter and Students could find these helpful. Other Sources of Help Once you have decided on the form of study that you are to use you should also remember that other help is available to you: (a) Colleagues It is surprising how often colleagues are able to assist when you are having difficulty understanding a particular section in the syllabus. Do not forget to make use of their expertise. (b) Regional Groups PMI has a network of regional groups which exist to provide support for Members in their particular area. There are regional groups in London, the Midlands, Eastern, North West, North East, Southern and South West England, Ireland and Scotland. Details of regional activities can also be found on the PMI website. PMI will send details of Students who live or work in the regions to the appropriate Education Secretary to enable Students to be kept informed of local activities. (c) PMI News PMI News contains Institute news, examination and study information, general pensions related information and appointments advertising. This publication is sent to Members on a monthly basis. You should read it to ensure that you are aware of current developments. An archive of PMI News can be accessed from the PMI Pension Careers website. (d) Reduced Rate Publications All Students are encouraged to read as widely as possible in order to improve their knowledge of current pensions issues. Students can receive complimentary copies of Pensions Age plus discounts on other pensions publications including Pensions World, The Financial Times and Engaged Investor. (e) Conferences and Seminars PMI holds a range of conferences and seminars at which topical subjects are spoken on and discussed. Students may attend these events at a reduced fee. Details of conferences and seminars are sent to all Members in PMI News and can be found on the PMI website. (f) Board of Examiners Report/ Past Examination Papers These are a valuable aid to revision. They can be downloaded from the PMI website. (g) Websites Much relevant information can be found on websites, the links page on the PMI website is a good place to start. (h) alerts PMI and the Qualifications and Student Services Department send s to Students and these contain information about forthcoming events and important deadlines

18 9 advanced diploma 200 & 300 syllabuses SYLLABUSES 2012 The syllabuses are presented in a form which is intended to give the reader an indication of the depth and breadth of knowledge which is required. Each syllabus is divided into sections with an initial statement indicating what is expected of candidates and some notes in italics which give an indication of the way in which the initial statement should be interpreted. The initial statement uses key words in heavy type to indicate the depth and/or breadth of knowledge which is required. The key words should be interpreted as follows: analyse interpret and examine in detail define make clear the exact meaning demonstrate explain or prove by reasoning/example describe give a detailed account of distinguish mark the difference between evaluate determine the value explain make clear or intelligible; illustrate the meaning of identify demonstrate what something is outline brief general explanation; summary without detail understand comprehend; have a thorough knowledge of As will be seen from the following the syllabuses vary considerably in length. This does not mean that larger syllabuses will have longer study materials or more demanding examinations. Some topics naturally lend themselves to more syllabus detail than others and it is felt that to artificially expand or restrict syllabus length would not be of assistance to Students or those helping them to prepare for examinations PROVIDING FOR RETIREMENT Aim To develop a broader understanding of providing for retirement, the different options available, and in what circumstances each might be appropriate. The candidate must be able to: demonstrate an understanding of the needs of the employee in saving for retirement changes to State pension age and State benefits balancing work, retirement and income flexible retirement long term care demographics changing social trends competition for income describe the options available for retirement saving ISAs corporate wraps property pensions, including SIPPs describe the main retirement benefits an individual might receive from the State explaining how the amounts are calculated basic State pension S2P Pensions Credit explain of the main features of auto enrolment auto enrolment, opting out and auto re enrolment jobholders qualifying earnings qualifying schemes phasing in and staging communication requirements and timescales compliance and the Pensions Regulator distinguish between the different methods of providing and delivering pensions occupational trust individual v master SSAS contract GPP Stakeholder SIPP bundled and unbundled individual Stakeholder SIPP retirement annuities bundled and unbundled NEST

19 understand the main features of employee engagement with saving for retirement importance of effective communication statutory disclosure requirements and those arising from best practice different communication methods explain why trusts are used in a pensions context and outline the duties of trustees essential features of a trust contract based alternative advantages of trusts trust law Statute law applying to pension trusts scheme reporting demonstrate an understanding of the different types of benefit design found in pension schemes defined benefit defined contribution career average cash balance hybrid describe the main types, and principal features, of occupational pension schemes found in both the private and public sectors, distinguishing between insured and self administered schemes public sector benefit structure private sector benefit structure insured schemes SSASs explain why an employer might choose a trust or contract based arrangement advantages and disadvantages of each essential features delivery demonstrate an understanding of how the benefits provided would be funded employer and employee contributions tax relief AVCs unfunded schemes describe the situation when an individual leaves a private sector pension scheme before retiring redundancy/ill-health on retirement phased types of annuity income draw down death divorce outline what a registered pension scheme is and describe the advantages conferred by registered scheme status Finance Act 2004 contributions investment benefits (retirement and death) describe the duties imposed on the scheme administrator by the Finance Act 2004 record keeping information requirements HMRC members other scheme administrators outline the principal features of the current tax regime governing registered pension schemes BCEs and the Lifetime Allowance Reduced Annual Allowance authorised and unauthorised payments outline the tax treatment of unregistered schemes Employer Funded Retirement Benefit Schemes Qualifying Recognised Overseas Pension Schemes demonstrate an understanding of the roles and functions of the bodies that regulate pension schemes and provide assistance or protection to members and employers the Pensions Regulator HM Revenue & Customs Pensions Ombudsman Financial Ombudsman Service PPF Ombudsman The Pensions Advisory Service Pension Protection Fund Financial Services Authority Financial Assistance Scheme National Insurance Services to the Pensions Industry The Information Commissioner The Pension Tracing Service NICO Pensions Compensation Board Pension Schemes Registry

20 outline how companies and individuals working in the pensions field are regulated statements of principle financial advice best advice treating customers fairly advertising and promotion regular reviews of suitability Retail Distribution Review explain why a private scheme might wish to contract out of S2P and describe the requirements that must be met COMPs COSRs COMBs APPs 202. LEGAL ISSUES RELATING TO UK PENSION ARRANGEMENTS Aim To provide an understanding of the legal issues relating to UK pension arrangements. The candidate must be able to: demonstrate an understanding of the main features of pensions law legislation case law regulatory guidance demonstrate an understanding of the principles of trust law and the role and responsibilities of pension scheme trustees features of a trust distinction between trust and contract different types of trustees appointment and removal of trustees duties and powers of trustees investment powers exercise of discretions delegation meetings and minutes trustees liability and protection trustee knowledge and understanding (TKU) notifiable events Pensions Regulator Codes of Practice and guidance notes outline other laws which impact on UK pension provision data protection divorce and civil partnership human rights equal treatment and discrimination (including age discrimination) dismissal and redundancy describe the role of the legal adviser and other key parties involved in the operation of a pension scheme and their interaction advisers(including legal adviser, scheme actuary and auditor) members and their dependants employers/pensions manager secretary to the trustees service providers investment managers insurer advisers and conflicts of interest distinguish between the different types of pension arrangements occupational pension schemes personal pension schemes employer financed retirement benefit schemes public sector schemes insured schemes self invested personal pensions small self administered schemes cross border schemes NEST describe the way in which pension schemes are established, the methods for changing trustees and employers and for amending schemes and explain the possible constraints on such amendments trust deed and rules employee communications changing employers changing trustees amending deeds powers of amendment overriding legislation and relevant case law practical considerations consultation and notification to members demonstrate an understanding of the legal requirements relating to the funding of registered pension schemes, inducement exercises and the practical issues which they can give rise to statutory funding objective statement of funding principles actuarial valuations and reports

21 strength of employer covenant schedule of contributions recovery plan use of contingent assets role of the Pensions Regulator funding of money purchase schemes inducements/transfer incentives describe the procedures to be adopted in connection with the discontinuance of a pension scheme and demonstrate an understanding of the duties of trustees in such situations and related issues interaction with employer scheme closure procedure for wind up company insolvency Pension Protection Fund Financial Assistance Scheme termination of contracting out discontinuance of insurance policies distinguish between a share sale and a business sale and demonstrate an understanding of the duties of trustees in such situations and the related issues share sales and business sales (and key differences between them) sale and purchase agreements past and future service provision (including TUPE) section 75 debts anti-avoidance and clearance apportionment of liabilities withdrawal arrangements scheme mergers 203. DEFINED BENEFIT SCHEMES Aim To provide an understanding and appreciation of the principles of design, administration and financing for defined benefit schemes. NB: This module also covers public sector schemes, CARE schemes and hybrids. The candidate must be able to: demonstrate an understanding of the factors which influence defined benefit scheme design and their impact on scheme administration employer needs employee needs integration eligibility conditions contribution rates pension ages benefits demonstrate an understanding of the stages of restructuring a defined benefit scheme reviewing benefit design changing future benefit structure closing to new entrants ceasing future accrual operating as a closed scheme winding up demonstrate an understanding of certain key features of the tax system that apply to defined benefit schemes tax relief on contributions and investment return authorised and unauthorised payments Annual Allowance Special Annual Allowance Lifetime Allowance Benefit Crystallisation Events primary and enhanced protection registration and de registration salary sacrifice demonstrate an understanding of scheme administration requirements benefit calculations new employees and auto enrolment active members pensioners dependants early leavers and transfers out retirement and death benefits trivial commutations divorce, court orders and pension credit members data protection requirement to keep up to date (payroll interfaces; annual renewals) record keeping service providers and professional advisers relevant Pensions Regulator Codes of Practice and guidance notes demonstrate an understanding of the additional administration requirements for contracted out schemes historic requirements Reference Scheme Protected Rights reporting requirements (leavers; retirements; solvency) from a UK perspective explain the practical benefit considerations to be taken into account when a member moves abroad