End of the traditional NED?

There has usually been a clear line between the responsibilities of a non-executive director and the management of a fund. But in both EU and European offshore jurisdictions that clear line is fading. And thanks to incessant demands for more substance in the jurisdictions where funds are domiciled the line could even disappear altogether.

This is an unintended consequence of BEPS. It is also an unintended consequence of the EU’s blacklist threats against offshore jurisdictions. And it might also be a consequence of Brexit – at least in EU jurisdictions – as ESMA may very well require much stricter local substance standards to approve delegation arrangements.

To read more on this story see the February issue of The NED.

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