Building Investor Confidence: A Guide for Mutual Fund Boards of Directors
In the wake of market disruptions, changing regulations and a weakened global economy, rebuilding investor confidence has become a top priority for the mutual fund industry. Today and moving forward, mutual fund boards of directors are taking on a more visible role than ever before — effectively becoming the first line of defense in restoring and protecting that confidence.
To help mutual fund directors understand their new and expanding responsibilities, State Street has published an updated version of Building Investor Confidence: A Guide for Mutual Fund Boards of Directors. The revised guide was launched at State Street’s Chief Compliance Officer Forum on November 16, which highlighted such topics as the current state of compliance, best practices in the valuation process, managing enterprise risk and adapting to the changing regulatory landscape.
The guide provides an orientation for new directors, acts as a refresher for existing directors and offers insights for those considering directorships. Beginning with an overview of board composition and committees, the guide continues with a review of insurance, compensation and fiduciary duties under state and federal law. In addition to covering the complex responsibilities of fund directors, the guide examines the sensitive internal and external issues that board members must oversee as directors, including market timing, data privacy, proxy voting policies and codes of ethics.
Because every board and fund organization is different, the practical recommendations provided in the guide can be useful in managing the unique circumstances directors encounter.
Click here for a preview of the new guide. To obtain a PDF version of the guide, please contact Jessica Raineri.at jessica.raineri@statestreet.com.
