Background

HedgeDirector was established to meet investor calls for a higher standard of corporate oversight within the hedge fund industry. As hedge fund investors since the early 1990s, our principals have observed alternative investments across a wide range of markets and have seen the best, and worst, practice in fund governance.

Historically, offshore hedge fund directors have often struggled with conflicting interests and excessive portfolios of funds. They have not been sufficiently incentivised or even qualified to perform fiduciary duties to the best interests of the shareholders. As a result, investors have been repeatedly let down by an inadequate protection mechanism.

Today, as alternative investments become more closely aligned with the mainstream investment industry, they need to evolve their governance function to meet the higher standards of oversight demanded.   Best practice requires independent board members who are capable of understanding the investment strategy and who are motivated to protect shareholders’ interests. HedgeDirector has been developed to help raise that bar.