Viewpoints

Articles written by industry professionals for Fund Board Views, may be opinion, commentary, educational/instructional.

A look at 20 years of fair valuation practices data

By Paul Kraft, Deloitte

What started out as a vision to help key mutual fund stakeholders understand how evolutions in the capital markets, in governance practices, and in the regulators’ activities and expectations were affecting fund groups’ valuation operating models has now developed into a rich source of information highlighting emerging, maturing, and stabilized ... >> CONTINUE READING <<<

More than milk: ESG investing given SEC’s rulemaking, enforcement agenda

By Amy Roy, Robert Skinner, and Brooke Cohen, Ropes & Gray

The massive flow of assets into ESG-focused funds reflects the intense and growing demand for investment products that enable investors to put their values into action while pursuing strong financial returns. The dramatic growth of the ESG funds sector has predictably attracted the attention of regulators, commentators, and the private ... >> CONTINUE READING <<<

New derivatives rule: A fund board’s responsibilities

By David Grim, Christopher Zimmerman, Jana Cresswell, and Zack Bradley, Stradley Ronon Stevens & Young

In late 2020, the Securities Exchange adopted new rule 18f-4 under the Investment Company Act of 1940, which provides for an updated and comprehensive regulatory approach to the use of derivatives and certain other transactions by registered investment companies.[i] More so than the prior regulatory approach, the new derivatives rule ... >> CONTINUE READING <<<

ESG rating providers: Discrepancies and the fund board’s oversight role

By Ethan Corey, Eversheds Sutherland

Environmental, social and governance investing remains highly popular with the investing public. According to Morningstar research, sustainable mutual funds and exchange-traded funds attracted $69.2 billion in net inflows from investors last year.[1] At the same time, ESG investing has drawn the scrutiny of regulators on both sides of the Atlantic. ... >> CONTINUE READING <<<

Cryptocurrency exposure: What fund boards need to know in 2022

By Jeremy I. Senderowicz and John M. Sanders, Vedder Price

In 2021, cryptocurrencies came into their own as a potential investment option for mutual funds, helped by expansion of the market for bitcoin futures contracts and the launch of the first bitcoin futures-based exchange-traded funds. There has been increased demand from both retail and institutional investors to gain exposure to ... >> CONTINUE READING <<<

A look at 2022: What fund boards can expect this year

By Rachael Schwartz, Sullivan & Worcester LLP

If 2020 was unprecedented, 2021 wasn't far behind. Like all other businesses, mutual fund boards shifted gears, adopted new technologies, and what was previously unimaginable became the norm. So, what will stay and what will go as the pandemic eases its grip?

After 18 months of working under a variety of ... >> CONTINUE READING <<<