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Rajib Chanda Quoted in BoardIQ on Board Attention During Wholesale Subadviser Changes At Multi-Manager Funds
11.15.16
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Corporate Partner Rajib Chanda was quoted in BoardIQ, a Financial Times news service, in an article titled “Board Attention Called For in Fund’s Swap of All Subadvisers,” which discuses wholesale subadviser changes at multi-manager funds. Although uncommon, they do occur, such as with a recent fund that in October began the process of firing all six of its subadvisers and replacing them in order to implement a new strategy. Rajib emphasizes the importance for board members of funds to understand that the process is designed to minimize the brokerage costs and tax consequences. Once complete, directors should look back to see how actual results compare to what management predicted, he adds.