Why Is An Internal Controls Framework Important?

L – LEARN

Examine and analyze the context and culture of the pension plan to learn what the plan needs to know to establish investment return objectives within a principled asset allocation decision-making process.

A – ALIGN

Align investment performance, governance risk management and compliance objectives, strategies, decision-making criteria, actions and controls with the requirements established by the Texas statutes, rules and regulations.

P – PERFORM

Address threats, opportunities, and requirements by encouraging desired conduct and events, and prevent what is undesired, through the application of proactive, detective, and responsive actions and controls.

R – REVIEW

Conduct activities to monitor and improve design and operating effectiveness of all actions and controls, including their continued alignment to investment risk-return objectives, funded status objectives, and all relevant legal requirements