Business panel: The role of non-executive directors

Mariana Enevoldsen, director, Estera, replies:

Unless you are one, or have dealt with one directly, you may not be familiar with the role of a non-executive director, nor know about their significance to the Guernsey funds industry.

A NED is a member of a company’s board of directors but is not an employee of the company and does not have responsibility for daily management or operations. The local NED community is broad and encompasses experienced entrepreneurs, asset managers, lawyers, accountants and senior employees of fund administration firms. The typical Guernsey fund or licensee will have at least one Guernsey-resident NED.

Combining local regulatory expertise with strong corporate governance and being available in Guernsey to hold meetings and sign documentation, NEDs provide a tremendous resource to the Guernsey funds industry. The economic substance regulations have also brought sharply into focus the requirement for relevant activities to take place on island and the Guernsey NEDs play an important role in demonstrating this.

At Estera Guernsey, we have good relationships with the NED community and maintain a comprehensive database. This means we are able to match the needs of our clients with that of the relevant skillsets and experience of prospective NEDs. There is no doubt that the breadth and depth of the NED pool contributes to Guernsey’s reputation, making us an attractive and leading investment funds jurisdiction for many of the world’s leading investment houses.