From the Editor...
There are a number of issues with which mutual fund directors have had to deal since the COVID-19 pandemic grounded everyone and forced board meetings to go virtual. In some cases, directors are working more—and more efficiently—than in the "old days," and most will tell you they've been pleasantly surprised by how seamless the transition has been. Here's hoping we all see each other in person again before too long, but in the meantime, boards—and advisers, lawyers, regulators, and pretty much everyone else—are getting things done.
In this time, cybersecurity and the potential risks posed by continued remote working are among the issues that are top of mind in fund firms and among fund directors. Special-to-FBV writer Mike Schnitzel tapped some experts for a recent story on what some of those risks are and how independent fund directors should make sure they are overseeing them properly. It's an informative piece, so give it a read.
Our latest Viewpoints, written by Ethan Corey from Practus LLP, explores closed-end fund reforms and no-action relief and the challenges CEF boards might face as a result. It's another good read, and definitely worth your time.
In other news, the industry has experienced another victory in the courts, with Great-West winning the 36(b) case filed against it more than four years ago. The decision "validates the good work of the many individuals—including the independent directors of the Great-West Funds board," a firm spokesman told FBV. There remain a few cases still active, which we're continuing to follow; we'll keep readers up to date on any developments in that space.
In the regulatory realm, the SEC has proposed tailored shareholder report, meant to make investors' decision-making process easier. This is not a rulemaking that's like to top fund boards' agendas, but it is something with which directors should be familiar and should follow as it makes its way from proposal to implementation. Therefore, we're on top of it—and you can find all the pertinent details on FBV.
We are starting our annual two-week summer shutdown today, so you won't hear from us again until after Labor Day. There are plenty more great stories stories in FBV, though, so scroll down and click on what interests you and poke around our site to make sure you haven't missed anything.
Enjoy the last days of this weird summer. As always, we're wishing you good health and comfort during these times. See ya in two weeks! #gonefishing
Hillary Jackson, founding editor