Firms need to be able to show how they are proactively monitoring and managing risks, and whether this is leading to suitable outcomes. As such, ICs are an important control for any firm operating a centralised investment proposition and ensuring the house view is promoted.
The IC's fundamental responsibility is:
A typical investment committee often comprises:
They should demonstrate the focus will always be on producing good customer outcomes.
To ensure there is no confusion about the responsibilities of the investment committee, it should be given clear terms of reference which define its purpose, scope, structure and outputs.
A good investment committee will have the following attributes:
We have a wealth of experience in this area:
Alternatively, you can request a call back: