The Financial Stability Board (FSB) is to review pension fund engagement, with a wide-ranging examination of how countries around the world are implementing OECD guidelines on governance.

The FSB said the peer review of the OECD’s Principles for Corporate Governance would examine how member states have applied the guidelines to listed companies, with results feeding into a further review being conducted by the World Bank.

The principles, a revised version of which was published last year as part of the G20 in Turkey, also inform a number of sector-specific codes, including those for pension funds.

In a document summarising the review’s terms of reference, the FSB said: “The G20/OECD Principles are foundational to the establishment of effective governance frameworks, and a peer review may provide useful insights on these issues.

“Moreover, as corporate governance is considered one of the 12 Key Standards for Sound Financial Systems, a review of compliance with the Principles could highlight important vulnerabilities that would be appropriate for further work.”

The review will specifically look at how to ensure an effective corporate governance framework, ensure disclosure and transparency around engagement and address the responsibility of company boards.

The consultation document adds that the review will look to find examples of good practice in implementing the principles as well as challenges in their implementation across a number of jurisdictions.

Additionally, it said it was interested in “material weaknesses, inconsistencies and gaps in implementation” prevalent across the FSB’s member states.