Fund managers must maintain their duty of care to investors as
the world adjusts to the COVID-19 pandemic, writes TMF Group's
Clive Short.
Fund managers have a fiduciary duty of care to their investors
to ensure the safe custody of assets, valuation and management
transparency. The importance of this role has been exacerbated by
the COVID-19 pandemic, which has created significant economic
instability throughout the world.
Given the volatile market conditions, I believe that investment
oversight, governance and risk identification should be the clear
priorities for fund managers looking to navigate the current
climate.
Unfortunately, there are many risks for funds to now consider,
whether it's macro factors, liquidity, reputational risk,
constitutional risk, or increased operating risk. These are all
dependent on sector, for example financially-hit tenants in the
real estate space.
