Section 21Sec./Art. 21

Powers and Functions of the Board of Directors. - The primary function of the Board of Directors is to govern and manage the MIC, its assets, and investments in accordance with this Act. The specific functions of the Board shall include the following:

(a) To direct the management and operations, and administration of the MIC;

(b) To approve and implement the Investment and Risk Management Guidelines and such other investment policies, guidelines, and parameters to effectively carry out the purposes of this Act;

(c) To set minimum criteria and targets for investments;

(d) To oversee the investment processes which may include asset allocation, portfolio construction, monitoring, and risk management;

(e) To approve the issuance of debt and debt- like instruments;

(f) To develop short, medium, and long term strategies appropriate for investments;

(g) To regularly meet and consult with the Advisory Body;

(h) To engage as may be necessary an International Advisory Consultant whose main responsibility is to advise the Board on its development strategy and investment business, equip executives and management with insights on geopolitical and macro-economic issues, internationals financial market conditions, and global investigations trends;

(i) To engage external fund managers and investment advisors, as may be necessary, to manage the MIF;

(j) To declare dividends in accordance with law and subject to the provisions of Republic Act No. 7656;

(k) To determine in accordance with Republic Act No. 10149, or the "GOCC Governance Act of 2011", the organizational structure, staffing pattern, number of personnel of the MIC, and define their duties and responsibilities as well as their compensation and other emoluments: Provided, That the Board shall determine the positions that are highly technical, including their compensation and other emoluments, and bonuses: Provided, further, That in all cases, such compensation and emoluments shall be comparable with the prevailing rates in the private sector. The organizational structure, staffing pattern and compensation structure of the MIC shall be subject to the approval of the President of the Philippines;

(l) To exclusively prescribe a system for performance standards and evaluation for officials and employees of MIC;

(m) To set the criteria and procedures for termination of employment of officials and employees for:

(1) Gross violation of the provisions in this Act or investment policies and guidelines set by the Board of Directors;

(2) Commission of acts inimical to the MIF or the Republic of the Philippines, such as any loss suffered by the Fund caused by negligence, willful misconduct, fraud, or actions in breach of any Investment Agreement; and/or

(3) Failure to meet performance standards set by the Board of Directors;

(n) To appoint key and critical officials and employees as may be necessary to assist the Board of Directors in carrying out its functions;

(o) To submit semestral reports on investment performance to the Advisory Body and to the President of the Philippines;

(p) To review and certify the MIC/MIF financial statements;

(q) To act as Trustee of the MIF and such other assets as may be assigned to it and direct how its assets are managed;

(r) To constitute an Audit Committee from among its members. The Audit Committee shall recommend to the Board the engagement of an external auditor and oversee the internal and external audits mandated under this Act;

(s) To perform other functions, duties and responsibilities necessary, related and incidental to the performance of the above-mentioned powers and functions; and

(t) To create, set up, and launch one or more sub-funds within the Fund, each of which shall have its specific investment objectives and strategies to be determined by the Board of Directors in line with the investment objectives and policies of the Fund.