11
expenses
and
to
pay
the
pension
benefit
for
the
member
who
has
retired.
Figure
2.2
illustrates the activity in a pension fund.
Figure 2.2 Activity of Pension Fund
Source: Sukemi and Muliawan 2005. p.11
In
managing the
investment, plan administrators are required to
invest
the wealth of the
pension
fund
in
accordance
with the
investment
regulation
that
set
by
the
ministry
of
finance.
Furthermore,
the
plan
administrator
is
required to
follow
the
investment
guidelines
which
made
by
the
plan
sponsor
and
the
supervisory
board.
Although
it
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