IA launches governance training for non-exec directors

New rules mean fund managers must appoint at least two independent non-executive directors by end of September

The trade body representing the UK asset management industry has launched a new initiative to improve non-executive directors’ supervision of fund boards.

Under rules introduced by the UK’s Financial Conduct Authority, investment managers will need to appoint at least two independent non-executive directors by 30 September 2019.

The regulator has introduced the rules to ensure that investors receive good value and that investment decisions are made with the customer in mind.

“Independent non-executive directors will play a crucial role in providing independent oversight and scrutiny, and as an industry we welcome their input in ensuring investors remain at the heart of decision making,” said Chris Cummings, the Investment Association’s chief executive.

“We recognise that they will require support in fulfilling their roles, which is why we have launched the iNED Club to provide a one-stop shop to enable iNEDs to access training and share best practice.”

The iNED Club will centre around an online suite of resources, which will guide non-executive directors on areas to examine. The online portal includes a package of research and reports and will be updated regularly.

The IA said it will be supplementing the digital resource bank with a series of training courses focussed on board governance and succession as well as regular networking events specifically for the non-executive director community.

Around 250 investment management groups are a member of the trade body, which collectively manage some £7.7 trillion of assets and employ more than 100,000 people across the UK.