From the Editor...

We broke the news a couple weeks ago that the Securities and Exchange Commission had charged an advisor, some of its officers, and a couple of its independent fund directors for violations of the liquidity risk management rule, which was implemented just a few years ago. The facts of the case—as presented by the SEC—are captivating, but they are far outside the norm in the industry, according to '40 Act lawyers with whom we spoke. Still, the case will be an interesting one to follow, and we'll do just that.

We also recently brought readers early results of Management Practice Inc.'s annual survey of independent director compensation and governance practices. Pay was up in 2022 after a few years of more modest or no increases. And, in line with other recent data on fund board composition, gender diversity is improving overall and especially among new directors. MPI's comp figures and data on boardroom practices offer a great snapshot of the industry.

In other boardroom news, the longest-serving member of the Tributary Funds board has retired, leaving an empty seat at the table. Robert Reed, 82, served for nearly 30 years and chaired the board's Corporate Governance and Nominations Committee. Will the board fill Reed's seat?

Don't miss our latest Viewpoints, in which MPI's Sara Yerkey discusses board oversight of profitability and economies of scale in an environment where assets under management are decreasing. It's a great read. You'll also want to take a look at ICI Mutual's latest Claims Trends report, which you can access here.

Enjoy the upcoming Memorial Day Weekend, the unofficial start of summer!

For now,

Hillary Jackson, founding editor