Trustees should ensure their statement of investment principles (SIP) comply with any changes made to their strategies as a result of market turmoil.
Drastic changes to equities weightings, for example, could lead members to accuse trustees of breaching their responsibilities.
Steven White, head of pensions and investments at Buck Consultants, advised trustees to rebalance their investments or rewrite the SIP.
Trustees could become scapegoats for schemes suffering from short-selling losses, according to law firm Wedlake Bell.
The firm claims trustees may be in breach of their duty to members if any payment for lending shares to hedge funds does not adequately compensate for losses a pension fund suffers on the falling value of its assets through short-selling.
