PEC 2012 - Retirement Benefits

[West]

I have started studying for the PEC - Retirement Benefits Exam. I'm using the 2011 syllabus as a guide.

If anyone wants someone else as to discuss particular questions, feel free to message me or post it in this thread.

Does anyone know if there was a case study for the PEC exam like in CSP/DP?

[Patrickp]

I have started studying for the PEC - Retirement Benefits Exam. I'm using the 2011 syllabus as a guide.

If anyone wants someone else as to discuss particular questions, feel free to message me or post it in this thread.

Does anyone know if there was a case study for the PEC exam like in CSP/DP?

im in. I will start studying this week ...

Maybe we should set up solutions for past exams since they did not post them ?

[Patrickp]

HI,

I want to know which nights do we have to book at the hotel since the PEC is from June 3 to june 6. Did they plan activites for each of these days ?

I want to check-in the night before and leave the same day of the PEC last activity.

thanks.

[West]

I booked my hotel room for Sunday, Monday, and Tuesday night.

The schedule is posted here:
http://www.actuaries.ca/membership/practice_education_course_registration_e.cfm

Registration is from 2:00pm to 3:00pm on Sunday. We are on our own for suppers. I think the PEC will have a much different feel than the FAC....

[ElDucky]

It all looks pretty straight forward. I'll rework the notes to match the past exams a bit.

[Patrickp]

hi,

anybody have a solution for number 5 and 6a of the june 2011 exam ( retirement ) ?

and where are the older case studies ? i only received one for the june 2012 exam.

thanks

[ElDucky]

I'll see if I can find those answers.

[ElDucky]

How is it that the normal form of pension on the hourly plan doesn't have a survivor option? Section 44 of the PBA requires a 60% survivor benefit.

[Patrickp]

How is it that the normal form of pension on the hourly plan doesn't have a survivor option? Section 44 of the PBA requires a 60% survivor benefit.

i did not notice before but you are right. it does requires at least 60% if you have a spouse.

[ElDucky]

Maybe that's one of the questions :)

[NoRiskNoGain]

i did not notice before but you are right. it does requires at least 60% if you have a spouse.

It requires the OPTION to provide the J&S 60% pension form. It does not require it to be the NORMAL form.

I have a lot of plans (mostly unionized) with the normal form being a guarantee 10 or less. Married members have the option to choose a J&S60% on an actuarial equivalent basis, but the spouse can waive the option.

[ElDucky]

I see. I was misreading the optional form part entirely.

[Patrickp]

on another note... i find it weird they are asking us to study ias 19 revised standard applicable as at january 2013 ... dont you ?

[ElDucky]

Is there any significance to the fact that the plan pays for BC health premiums? Why only BC?

[Patrickp]

on another note... i find it weird they are asking us to study ias 19 revised standard applicable as at january 2013 ... dont you ?

Ok.. we received an email that tell us to use the previous version of ias 19 i.e the one in effect as at january 2010..

Now i have to read that crap again.:argue:

[Number One]

in effect 2011.

Hmmm, isn't the link they give us ias 19 rev 2011, not rev 2008, but we are being tested on 2008?

[Number One]

Well that's a bit weird. I guess the link changed, because what's there now isn't what I printed a few weeks ago.

[Patrickp]

Yes. they changed the syllabus. I noticed this morning.

initially , the link pointed to IAS 19 Rev 2011. It was revised this week to IAS 19 Rev 2008......

I was angry for a moment since i studied all the changes between the 2 versions..

[ElDucky]

I must be missing something because I get rev 2011 when I go the link for the full IAS 19. For clarity, 2011 goes up to #174 (the version currently posted on the iasb website, which the link takes you to), but 2008 goes to #161.

I see that the technical summary they link to is now 2009.

[ElDucky]

IFRIC 14 is also now different. I have no idea where you'd find the 2008 version, except that I have a copy printed and it was in the CSP study notes before.

[Patrickp]

I must be missing something because I get rev 2011 when I go the link for the full IAS 19. For clarity, 2011 goes up to #174 (the version currently posted on the iasb website, which the link takes you to), but 2008 goes to #161.

I see that the technical summary they link to is now 2009.

You are right. it is still the IAS rev 2011. Do you have the link for the 2009 ? Is it the same as on the Fall 2011 exam CSP ?

thanks.

[ElDucky]

I can't find 2009 anywhere. I just happen to have it printed from a few weeks ago. It is the same as the CSP exam from 2011. Anyone who didn't print it already is aparently SOL. Way to go CIA.

[Patrickp]

I can't find 2009 anywhere. I just happen to have it printed from a few weeks ago. It is the same as the CSP exam from 2011. Anyone who didn't print it already is aparently SOL. Way to go CIA.

LOL.. so confusing....

[West]

I have a question and I think it is straight forward. Little embarrassed I'm asking it, but maybe someone can answer it...

A full-time hourly employee is hired on January 1, 2010 at PEC. He works in Quebec.

The Hourly Plan's eligibility says: Minimum compliance by province

Quebec's SPPA says: Annual earnings of at least 35% of YMPE, or 700 hours worked, in the calendar year immediately preceding membership.

Let's say this employee is expected to earn $75,000 in 2010, which is above 35% of YMPE 2010.

Is his date of membership to the hourly plan January 1, 2011?

[ElDucky]

Yes, although I don't know what 'plan membership for part time workers may be optional' is supposed to mean.

[West]

Perhaps, that plan sponsors have the option (and not the obligation) to offer their pension plan to part-time employees. So, in Quebec a plan sponsor doesn't have to offer their pension plan to part-time workers.

[ElDucky]

hi,

anybody have a solution for number 5 and 6a of the june 2011 exam ( retirement ) ?

and where are the older case studies ? i only received one for the june 2012 exam.

thanks

5a, the change in the Balance Sheet Asset should be 0 as far as I can tell. There is a change to the expense, but I don't see how a change in the expected return changes the balance sheet.

Part b seems to refer to 120(g), disclosure. Not sure if there are others.

[ElDucky]

I get 200,000 as the answer to 6a

[Patrickp]

5a, the change in the Balance Sheet Asset should be 0 as far as I can tell. There is a change to the expense, but I don't see how a change in the expected return changes the balance sheet.

Part b seems to refer to 120(g), disclosure. Not sure if there are others.

Exactly what i thought . 0 . thanks for confirming.

[Patrickp]

I get 200,000 as the answer to 6a

good. i got the same result. Was not sure if Market value of assets was supposed to be 0.

thanks.

[West]

Exactly what i thought . 0 . thanks for confirming.

Agree with no change to the balance sheet asset.

For disclosures, I also added under 120A: (j), (l) and (n).