From the Editor...
Mutual fund boards are more diverse and inclusive than ever, according to the most recent data on the industry, and efforts continue both in the nation's boardrooms and at the industry's regulator to encourage further improvement and support the momentum that's been building in recent years. Case in point: The Securities and Exchange Commission earlier this month approved a set of recommendations that would require fund boards to disclose the gender and diversity of their directors, something that currently is near impossible to figure out. A rule proposal is a ways off (if it happens at all), but the initiative is there and industry experts believe this would be a positive development. We're keeping an eye on the situation, so watch this space.
Meanwhile, boards are readying themselves to return to in-person meetings (or some kind of hybrid model) and for many directors, these late summer/fall meetings will be their first chance to meet new colleagues who were brought in during the pandemic. Recruitment and succession planning continues, especially now that things are more open and travel restrictions have been lifted in many areas. Touchstone Funds has nominated two new directors—one independent and one interested—to join the board, President and CEO Blake Moore (who also is the interested nominee) told us in an exclusive interview, while American Century Funds' Mountain View board recently added the former CFO of the Golden States Warriors basketball team to its boardroom. At Franklin Templeton, oversight and governance has been rejiggered to give FT's exchange-traded funds board responsibility for a suite of Legg Mason ETFs.
Our latest 10 Things... list covers what mutual fund directors should be asking and thinking about when it comes to investing in Chinese companies, and we reported a couple weeks ago on Management Practice Inc.'s annual survey of CCO compensation, which shows a continued upward trend in CCO pay. And if you didn't read our latest Viewpoints piece on fund consolidation, authored by Cohen & Company's Jeff Haneline, give it a look!
We hope you're enjoying summer and staying healthy!
For now,
Hillary Jackson, founding editor