Investment risk includes both intended or expected risk from the investment process and unintended risk that may result from investment decisions, assumptions, market movements, and other factors. While the fund’s adviser manages this risk, directors have an important oversight role. This Reference provides an overview of the statistical measures that may be used to evaluate investment risk in equity funds and that may be included in reports provided to directors. The resource includes: key factors to consider when reviewing risk measures; a summary of the most common uses of the risk measures, follow-up questions that directors may find useful; and a glossary with definitions of common risk measures.
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Role of the Mutual Fund Director in the Oversight of the Risk Management Function
On February 17, 2017 the Forum released a report titled Role of the Mutual Fund Director in the Oversight of the Risk Management Function. This Forum report assists directors by outlining key concepts and principles relevant to fund directors’ risk oversight.
The report can be found here and the related press release can be found here.
Forum Report: Best Practices and Practical Guidance for Fund Directors
On July 28, 2004, the Forum published its first report, "Best Practices and Practical Guidance for Mutual Fund Directors."
Board Oversight of Cybersecurity
On November 17, 2015, the Forum released a report titled Board Oversight of Cybersecurity. This Forum report assists directors by outlining and describing the context of cybersecurity risks and offers suggestions as to how boards may wish to address cybersecurity oversight.
The report can be found here and the related press release can be found here.
Forum Report: Cost Implications of an Independent Chair and 75 Percent Independent Board
On August 30, 2005, the Forum published its report, "Cost Implications of an Independent Chair and 75 Percent Independent Board."
Click here to view the full report.