The Institute and Faculty of Actuaries (IFoA) Council has authorised measures to enhance its governance in order to better align with industry standards and achieve its objective of receiving international recognition.
The current management board will be restructured as a new unitary board, led by an independent chair and the changes will go into effect in the first part of 2024.
The CEO, 4 independent non-executive directors including the chair and 4 IFoA member non-executive directors, of whom the president is one, will make up the Unitary Board. It will receive reports from all current Council and management board subcommittees.
Council will continue to have its reserved powers, but it will give the unitary board control over monitoring, strategy, planning, and reporting. The IFoA membership and the broader actuarial profession will become the focus of the Council, which will also advocate for members, enhance the membership experience, and develop a long-term vision for the profession. The president will now serve a two-year term beginning in June 2025 and ending in June 2027.
Non-executive members of the unitary board will be initially appointed through a competency-based screening process by an independent appointment panel. A nominations committee will oversee subsequent appointments and fill non-executive vacancies, except for the president who will be chosen by Council.
IFoA president Matt Saker says: “This year, the IFoA celebrates its 175th anniversary. We are proud of our heritage and, as with any organisation with a long history, we have continually adapted over the years to ensure we are effectively supporting and promoting the profession. Our ambition to be a leading global professional body means we must continue to provide a governance structure that is modern and fit for purpose.
“I would like to thank the Governance Review’s Steering Committee for leading the extensive consultation process which sits behind these governance changes. Council has signalled clear support for the changes, decisively voting to commit to the new structure and processes. We can now move into the implementation stage with clear principles on the initial set-up and robust rules for the long-term success of this process.”