Sixty second summary
Fiduciary management in the spotlight
07 Jul 2021
Use of fiduciary management has grown substantially over the last decade, sometimes for the right reasons and sometimes for the wrong ones. We believe it is important that all trustees understand the principles of fiduciary management so they are able to make an informed choice on whether it is right (or wrong) for them.
What is fiduciary management?
Fiduciary management is an arrangement whereby trustees delegate certain investment decision-making powers to a third party. While the full fiduciary model would delegate all but the most important investment decisions, in practice there is a wide variety of different models and the level of delegation can be tailored to a particular trustee’s requirements.
If you’d like to know more about the pros and cons of fiduciary management specifically or other governance solutions more generally then please talk to your consultant.
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