The implication for directors is that performance standards are now trending toward risk/return within the model, relative to potential peers that could also occupy that “slice” of the asset allocation pie. In this environment, which investor’s viewpoint are directors meant to represent?
There are now compelling claims that directors will need to consider the perspective of the asset/allocator fund selector’s perspective; to look more closely at perhaps a separate performance peer group; and better understand third-party assessments that are used to build and evaluate models.
