A detailed and comprehensive Director’s DDQ has been developed by Mark Flanagan of Aon Hewitt, after a period of consultation across the industry. He says other investment consultants, such as Mercer and Towers Watson were included in this consultation as were leading fund directors in the main international fund jurisdictions. Mark Flanagan adds that he also had feedback from a lot of managers.

Mark Flanagan makes the point that investors are becoming much more interested in fund governance, in general, and in the appointment of board directors, in particular.

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The NED has engaged in an extensive consultation exercise with directors on matters connected to board appointments. This was in preparation for research that has just started with managers and advisors on this topic.

It appears that director selection is a pretty random process; it often come down to who you know. Qualifications are of course important but contacts are generally even more so. Until The NED undertook its recent consultation exercise for the research study it is doing on director selection, we were not aware just how random selection can be.

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