Non-executive directors scheme
A NEW service to help protect non-executive directors of investment funds and their management companies from risks has been developed with the Guernsey Investment Fund Association.
The financial protection and advice service for GIFA has been designed and is supported by Thorndon, an independent company comprising legal and insurance professionals experienced in managing process risk for fund directors and boards.
‘Fund boards and individual non-executive directors have enormous responsibilities in the pursuit of investors’ interests, yet little support mechanism around them should they find themselves exposed to the risks faced in their role, such as litigation and regulatory enforcement,’ said Thorndon director Jonathan Bates.
Thorndon worked alongside the GIFA NED committee over the past year to tailor its service to the specific needs of the Guernsey funds sector. It is believed that Guernsey is the first jurisdiction to adopt such an initiative.
GIFA chair Paul Smith said: ‘GIFA wishes to nurture a sustainable pool of NEDs who, as ultimate decision-makers, form a cornerstone of the island’s critically important fund administration sector.
‘The aim of this service from Thorndon is to provide NEDs with advice and support and it will hopefully encourage more people to consider taking on the responsibilities that being a non-executive director entails.’