Opening Remarks From The Chair

SPEAKER:

KYLE RINGROSE,
Principal Consultant Athena IOC

• New risks that have emerged
• How effective risk mitigation strategies have been
• Should unit pricing policies be designed to cover Black Swan events – the trade off between cost and comprehensive risk mitigation
• Examples of policies that may have proved deficient
• The perils of daily unit pricing
• How unit pricing policy and practice may change going forward

SPEAKER:

STEPHEN HUPPERT
Independent Consultant & Advisor

• What we mean by “concentration risk”. Is concentration risk focused only on investment assets or should it include member liabilities
• The conflict between long term investment strategies and short-term liquidity issues
• The roles of the CIO, the CRO and the Board in managing
  liquidity and concentration risk
• The role of the RBA in supporting liquidity risk
• The issues with using the large default option as a
  “banker” for managing liquidity risk

PANEL MEMBERS:

CRAIG ROODT
Director, Investment & Wealth Advisory at Deloitte ( invited)

MARTIN WALSH
Trustee Board Independent Director at IOOF Holdings Ltd

SEAN MCGING
Managing Director, McGing Advisory & Actuarial

ALEX WISE
Head of Australia & NZ, Castle Hall

• Where might the next “left field” risk come from
• How superannuation funds might prepare for the unknowns
• Insights into unexpected risks emerging over recent times
• Are larger funds better able to manage unexpected risks than smaller and perhaps more nimble smaller funds

PANEL MEMBERS:

SCOTT BARKER
CFA, Head of Investment Risk & Execution Oversight,
IFM Investors

THEO VOSNIDIS
Head of Investment Risk and Compliance, Cbus Super Fund

STEPHEN HUPPERT
Independent Consultant & Advisor

SPEAKER:

DAVID JOHNSON
Executive Director, Business Transformation,
IFM Investors

LUNCH BREAK

• Concepts behind evaluation of risk over long horizons, including: focusing on shortfall versus objectives, potential
  for sustained loss and path dependence
• Issues with (short-term) volatility-based measures
• Decomposing the wealth drivers into initial expected
  return, cash flows, discount rates and reinvestment effects
• Modelling long-term outcomes using simulation or scenario analysis
• Alternatives for the Standard Risk Measure

SPEAKER:

ASSOC. PROF. GEOFF WARREN

Fund Convenor, Student Managed Fund, The Australian National University

PANEL MEMBER:

ALAN ARTYUN
Executive Consultant, Former Head of Business Operations at Eastspring Investments and Head of Investment Operations at Pendal

• Are superannuation fund risks overstated or are they not taken seriously enough?
• Reflections on the risk governance framework emerging from the ASIC investigation of Westpac. How superannuation funds can learn from the Westpac risk governance framework
• Would more superannuation fund mergers lead to reduced long-term risk or would it increase short term risks?
• Is the risk of unit pricing errors in a Black Swan event
  being given sufficient attention?
• Will/should the industry ever consider moving away from daily unit pricing?
• Less obvious risks emerging with investments in unlisted assets

MODERATOR:

KYLE RINGROSE
Principal Consultant Athena IOC

PANEL MEMBERS:

STEPHEN HUPPERT
Independent Consultant & Advisor

MARTIN WALSH
Trustee Board Independent Director
at IOOF Holdings Ltd

ALAN ARTYUN
Executive Consultant, Former Head of Business Operations at Eastspring Investments and Head of Investment Operations at Pendal

Closing remarks from the chair