Technology and transparency are allies

Thanks to the onward march of technology, given a huge boost by Covid-19, fund governance this decade should be become a lot more sophisticated than it has been up until now. More transparency will help too. Transparency and tech advances might even create a virtuous circle and so revolutionise fund governance.

Travel difficulties look like they will last for a long time to come. Even in the unlikely event that all travel restrictions were to be lifted not many people will want to jump on an airplane if they can possibly avoid it. At least until a vaccine is found it is unlikely that air travel, hotels and related activity will go back to the pre-March 2020 era. This means that fund boards are going to have to become much more dependent upon technology in order to operate – for possibly years to come.

Might this also be the right time to introduce reforms to fund governance practices that date back to the pre-Internet era? These practices have been in place for decades without anyone questioning them. That is because no one had any need to do so. Covid-19 has changed that. Necessity is the mother of invention.

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

shadow