The immediate focus of the IA in the first couple of weeks of the COVID-19 crisis was in supporting members through an unprecedented set of operational challenges and very significant market dislocation, and in ensuring our public messaging also provided information and reassurance for savers and investors. From an investment perspective, this period was characterised by clear stress in key areas of the capital markets and wider economy and a wave of suspensions in UK property funds, driven by material valuation uncertainty rather than redemption requests.
As this initial phase passes, markets are calming and firms have been transitioning to different ways of working. However, a wide range of challenges remains and the IA is extremely vigilant with respect to risks of further shocks in what is an uncertain wider environment.
In terms of key issues this week, we have been particularly focused on the following areas:
- Customer delivery and maintaining high standards
- Ongoing regulatory compliance and operational issues faced by the investment fund industry
- Fund liquidity and financial stability
- Emerging corporate governance issues, notably dividend policy and executive pay.