Program Topics
Everything Directors Need to Know—and Need to Know How to Do
Participants in Foundations for Fund Directors® develop broad knowledge and a wide variety of skills—all integral to protecting shareholder interests.
Introduction
- How registered funds operate and how they are regulated
- The role of registered funds in the economy and financial markets
Guiding Principles
- How to ensure and maintain independence
- How to fulfill the fiduciary duties of loyalty and care
- How to oversee potential conflicts of interest
- How to use shareholder interests as a guide in fulfilling oversight responsibilities
Fundamental Responsibilities
The 15(c) process
- How to handle the process for reviewing a fund’s advisory contract
- How to apply the Gartenberg factors when deciding whether to approve a fund’s advisory contract
Investment management and performance
- Factors to consider when evaluating a fund’s performance
Fair valuation
- Responsibilities in determining the fair value of portfolio investments
- Common practices for overseeing the fair valuation process
Liquidity
- Fund liquidity requirements
- Board responsibilities under the SEC’s new liquidity risk management rule
Distribution
- Responsibilities under Rule 12b-1, the rule governing the use of fund assets to pay for distribution
- The process for reviewing and approving the fund’s contract with its principal underwriter
Compliance
- The elements of a culture of compliance
- Oversight responsibilities under the fund compliance program rule
- The board’s relationship with the fund’s chief compliance officer
Risk management
- The value of risk management in the fund industry
- Types of investment risks to focus on when overseeing risk management
- Ways to determine an appropriate level of board involvement
