Subadvisor Diversity, or Lack of It, Gaining Board Attention
Nicole Crum was quoted in the article "Subadvisor Diversity, or Lack of It, Gaining Board Attention," [sub. req.] which was published in BoardIQ on November 2, 2021.
In the article, Nicole notes, '[m]y advice to boards is they should ask management what factors they would evaluate when selecting a subadvisor beyond assets under management and track record. If it's the board's view that diversity of subadvisors is important, then [it is] asking: 'When evaluating subadvisors, is diversity in the pool?' and if the answer is no, then asking why not."
She goes on further to say a board's questions on subadvisor diversity can be seen as strategic "and understanding blind spots," not as directors veering out of their lane. "It's an information-gathering conversation right now, and people are reflecting."