Canada Pension Plan Investment Board Act

Marginal note:Books and systems

• 39 (1) The Board shall, in respect of itself and each of its subsidiaries, cause

  • (a) books of account and records to be kept;

  • (b) financial and management control and information systems and management practices to be maintained; and

  • (c) a record of the investments held during the financial year to be kept, showing

    • (i) the book value of each investment,

    • (ii) the market value of each investment and such information as will permit the verification of that value, and

    • (iii) such information as will permit the determination of whether the requirements of this Act and the investment policies, standards and procedures have been met.

• Marginal note:Manner in which books, etc., to be kept

  (2) The books, records, systems and practices required by subsection (1) shall be kept and maintained in such manner as will provide reasonable assurance that

  • (a) the Board’s assets and those of its subsidiaries are safeguarded and controlled;

  • (b) the Board’s transactions and those of its subsidiaries are in accordance with this Act and the by-laws, or the by-laws of the subsidiaries, as the case may be; and

  • (c) the Board’s financial, human and physical resources and those of its subsidiaries are managed economically and efficiently and that the Board’s operations and those of its subsidiaries are carried out effectively.

• Marginal note:Internal audit

  (3) The Board shall cause internal audits to be conducted, in respect of itself and each of its subsidiaries, to assess compliance with subsections (1) and (2).

• Marginal note:Annual financial statements

  (4) The Board shall cause financial statements to be prepared annually, in respect of itself and each of its subsidiaries, including, with respect to the financial year to which it relates,

  • (a) a balance sheet as at the end of the financial year;

  • (b) a statement of income for the financial year;

  • (c) a statement of change in net assets for the financial year; and

  • (d) a statement of investment portfolio.

• Marginal note:Contents of statements

  (5) The annual financial statements shall show such information and particulars as in the opinion of the directors are necessary to present fairly, in accordance with generally accepted accounting principles, the primary source of which is the Handbook of the Canadian Institute of Chartered Accountants, the Board’s financial position as at the end of the financial year to which it relates.

• Marginal note:Quarterly financial statements

  (6) During each financial year, the Board shall cause quarterly financial statements to be prepared for each three month period of the year. The quarterly statements shall

  • (a) show the same information for the most recent three month period as is required to be set out in the Board’s annual financial statements, except that a balance sheet is not required; and

  • (b) show the same information in respect of the part of the year up to the date of the statements in relation to the corresponding period in the preceding financial year.

• Marginal note:Approval by board of directors

  (7) The board of directors shall approve the annual financial statements of the Board and of each of its subsidiaries and that approval shall be evidenced by the signature of at least one director of the Board.