Members: Jean Turmel, Chair; all board members belong to this committee

Throughout, “OTPP” refers to the corporate organization, the Ontario Teachers' Pension Plan Board, and “board members” refers to the members appointed to the OTPP.

Authority
The OTPP is responsible under the Teachers’ Pension Act for the management of the pension fund. Subject to particular limits, the OTPP has delegated the investment of the assets of the plan to the Chief Executive Officer of the Board with the power to sub-delegate.

The Investment Committee is a standing committee of the OTPP established to assist it in fulfilling its responsibilities as manager of the pension fund including overseeing the investment of assets, investment-related liabilities and management of surplus (deficit) of the plan.

In instances where a majority of the members of the Committee believe that in order to properly discharge their obligations to the OTPP, it is necessary to obtain the advice of outside experts, the Committee shall engage the necessary experts.

Responsibilities
1.To review and advise the board members on:

1. Investment policies and procedures for the pension fund, as required by the Pension Benefits Act and its regulations;
2. Investment risk including risk-monitoring systems, appropriate asset-liability matching and asset-mix policy for the fund;
3. Guidelines and objectives for the fund including the annual risk budget;
4. The annual investment plan and, based on regular periodic reports by the delegates, performance of the fund against the investment plan and against a composite benchmark for the fund and appropriate benchmarks for each asset class;
5. Selection and monitoring of external managers to invest on behalf of the fund, or alternatively, establishing a policy for the selection and monitoring of external managers;
6. Operating policies such as policies for Corporate Governance, Proxy-voting and Director Appointments for employees and external investment managers;
7. Approval of specific investments outside of generally delegated limits, and thereafter monitoring such investments by reports of the specific delegates on the commitment to, and completion of, the investments; and
8. Performance of each department in the Investment Division annually.

2. To advise the board members and carry out such other tasks, consistent with the above matters, as directed by the board members.

Position Description for Chair of Investment Committee
The Chair of the Committee shall:
1. Provide leadership to enhance the Committee’s effectiveness by :

1. ensuring that the areas of responsibilities of the Committee and management are understood and respected by both; and
2. overseeing the discharge of the Committee’s responsibilities including its reporting to the board members.

2. Act as the liaison between the Committee and management by working with the Chief Executive Officer or his delegatee

1. to carry out the annual calendar of the Committee’s business;
2. to set the agenda for each Committee meeting; and
3. to ensure that proper information is brought to the Committee including regular management reports and documentary materials in support of management’s proposals.