Internal Governance for Asset Managers - A Roadmap
Alternative investment managers require internal organisational arrangements and external accountability structures to govern business operations and to fulfil, amongst others, their regulatory, fiduciary, and ethical obligations to investors and other stakeholders.
These internal organisational arrangements include decision and oversight structures, systems of rules, practices, and processes, as well as reporting frameworks that enable the organisation to address key business and service issues. At the SBAI, we recognise that there is variation in the alternative investment industry arising from differences in AUM, resource levels, and operational complexity. We have therefore produced flexible guidance – suggesting a roadmap tailored for small, medium, and large managers.
This memo discusses:
- Governance Structure
- Business Governance
- Risk Management
- Compliance
- Trading & Operations
Managers may review this guidance, adapting as necessary to allow effective implementation according to individual fund circumstance.