Quilter Cheviot calls for overhaul of investment trust sector governance

Diversity and succession planning flaws

clock • 2 min read

Quilter Cheviot has called for a far reaching overhaul of governance within the investment trust sector, after its research found some trust boards were failing to take engagement seriously.

During the first phase of its long-term engagement, Quilter Cheviot met with the chairs and other non-executive directors (NEDs) of 41 equity investment trusts. It found most, but not all, boards were open to constructive challenge and discussion. One chair described engagement as "fatuous" when asked about providing more disclosure regarding the manager's approach to engagement. Quilter Cheviot provided each investment trust with a red, amber or green rating on three criteria; board composition, board effectiveness, and disclosures for environmental, social and governance factors. ...

To continue reading this article...

Join Investment Week for free

  • Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
  • Get ahead of regulatory and technological changes affecting fund management
  • Important and breaking news stories selected by the editors delivered straight to your inbox each day
  • Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
  • Be the first to hear about our extensive events schedule and awards programmes

Join now

 

Already an Investment Week
member?

Login

More on Investment Trusts

Trustpilot