CCO Responsibilities & Compensation
Mutual Fund CCO Compensation in 2014 Print E-mail
Written by Jay Keeshan   

MPI recently completed its tenth annual Survey of Mutual Fund Chief Compliance Officer Compensation and Organizational Practices. This bulletin summarizes the findings and is based on the submissions of 60 mutual fund CCOs from all regions of the U.S., representing funds with $2.8 trillion in assets.  This year’s study found that 59% of the participants were full-time employees and serve as CCO to both the fund and the advisor.

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Mutual Fund CCO Compensation in 2013 Print E-mail
Written by Jay Keeshan   

MPI recently completed its ninth annual Survey of Mutual Fund Chief Compliance Officer Compensation and Organizational Practices. This bulletin summarizes the findings and is based on the submissions of 60 mutual fund CCOs from all regions of the U.S., representing funds with $2.1 trillion in assets.  This year’s study found that 62% of the participants were full-time employees and serve as CCO to both the fund and the advisor. 

 

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Mutual Fund CCO Compensation in 2012 Print E-mail
Written by Jay Keeshan and Meyrick Payne, Management Practice Inc. (MPI)   

     MPI recently completed its eighth annual Survey of Mutual Fund Chief Compliance Officer Compensation and Organizational Practices. This bulletin summarizes the findings and is based on the submissions of 60 mutual fund CCOs from all regions of the U.S., representing funds with $1.9 trillion in assets.  This year’s study found that 65% of the participants were full-time employees and serve as CCO to both the fund and the advisor.

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Mutual Fund Director Compensation in 2012 Print E-mail
Written by Jay Keeshan and C. Meyrick Payne of Management Practice, Inc.   

     Management Practice Inc. (MPI) has just completed its 20th annual “Survey of Mutual Fund Director/Trustee Compensation and Governance Practices”, with data covering 1,761 directors from 368 fund families. Full reports and specific board compensation comparisons are available from MPI.

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Mutual Fund CCO Compensation in 2011 Print E-mail
Written by Jay Keeshan and Meyrick Payne, Management Practice Inc. (MPI)   
     MPI recently completed its seventh annual Survey of Mutual Fund Chief Compliance Officer Compensation and Organizational Practices. This bulletin summarizes the findings and is based on the submissions of 61 mutual fund CCOs, representing funds with $2.1 trillion in assets.  
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What Separates the Best CCOs from the Rest? Print E-mail
Written by C. Meyrick Payne of Management Practice Inc. (MPI)   
     The passage of the Dodd-Frank Act in July 2010, along with regulators’ increased emphasis on risk management, is heightening the importance of having the right person in the chief compliance officer role.
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CCO Pay Holding Steady; Majority of CCOs are Lawyers Print E-mail
Written by Jay Keeshan and Meyrick Payne, Management Practice Inc. (MPI)   

     MPI recently completed its sixth annual Survey of Mutual Fund Chief Compliance Officer Compensation and Organizational Practices. This bulletin summarizes the findings and is based on the submissions of 63 fund CCOs, representing funds with $3.4 trillion in assets.  65% of the participants were full-time employees and serve as CCO to both the fund and the advisor.

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CCO Pay Rebounds Slightly at Larger Firms; CCOs More Involved in Risk Management Print E-mail
Written by Jay Keeshan and Meyrick Payne, Management Practice Inc. (MPI)   
     MPI recently completed its fifth annual Survey of Mutual Fund Chief Compliance Officer Compensation and Organizational Practices. This bulletin summarizes the findings and is based on the submissions of 65 fund CCOs, representing funds with $2.9 trillion in assets.  66% of the participants were full-time employees and serve as CCO to both the fund and the advisor.

     Apart from CCOs at the largest firms, CCO compensation on average appears to be holding relatively steady through the financial crisis, with few CCOs seeing wide variability in their annual pay.  The overall picture was on par with expectations that CCOs would not receive the larger increases seen before the meltdown.  The majority of participating mutual fund CCOs again saw moderate or no increases in total compensation in 2009 when compared to 2008. Based on the 65 participants in the 2010 study (not exactly the same group as in 2009), average total annual CCO compensation rose from $349,266 to $352,034, an increase of less than 1%.

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How Mutual Fund Boards Should Take CARE of their CCOs Print E-mail
Written by C. Meyrick Payne and Sara D. Yerkey   

     The role of a mutual fund’s Chief Compliance Officer was partially devised to assist the board in the execution of their duties. Principle among them is to ensure that the Fund complies with the Securities Laws. In many ways the CCO is the eyes and ears of the fund directors. And in return, the fund board has an obligation to guide, monitor and support their CCO.

     The purpose of this article is to describe the ways in which the mutual fund directors can accomplish this. Like any good manual their responsibilities can be summarized with an acronym. For this subject matter it is, “CARE.”

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Lower Bonuses Reduce Pay for Higher-Paid CCOs in 2008 Print E-mail
Written by Jay Keeshan and Meyrick Payne   
MPI recently completed its fourth annual Survey of Mutual Fund Chief Compliance Officer Compensation and Organizational Practices. This bulletin summarizes the findings and is based on the submissions of 56 fund CCOs, representing funds with $2.3 trillion in assets.  66% of the participants were full-time employees and serve as CCO to both the fund and the advisor.
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CCO Compensation Increases 9% But Still Varies Widely - May 2008 Print E-mail
Written by Jay Keeshan   

MPI has recently completed its third annual survey of Chief Compliance Officer Compensation and Organizational Practices. This Bulletin is a summary of the findings and is based on the submissions of 64 fund families following 46 which reported last year.

We analyzed the data by plotting the total compensation against assets under management. We found that CCO compensation increased as size increases but that economies of scale exist (i.e. a CCO is paid more for the first $1 billion of assets than the second $ billion and so on). We found that the highest paid CCOs approach $1 million per year and very few are paid less than $150,000. When we compared the same CCOs year over year we found an average pay increase of 9%.

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