Is there an auditing function to keep managers accountable?
We calculate and verify returns internally. We input data from our client’s custodial reports and conduct regular due diligence to verify the validity of the performance results. In addition to performance we monitor fees and costs of service to the client we report to our clients on the custodial, brokerage and transaction costs and compare them with the accepted standards. On a quarterly basis we audit the managers for any changes in management or ownership and we require that managers put us on immediate notice for any regulatory citations or violations. In addition to this we carefully inquire on any changes to investment process or risk profile.
