The Investment Company Act Requires That at Least 40% of the Board

question 284

Multiple Choice

The Investment Company Act requires that at least 40% of the board of directors of an investment company must be outsiders to:

• A) reduce possible conflicts of interest
• B) prevent insider trading
• C) reduce the possibility of insider trading
• D) make sure the board is very diverse
• E) none of the other choices are correct

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Definitions:

Special Projects

Specific, often temporary initiatives undertaken to achieve particular goals, typically requiring dedicated resources and attention.

Job Crafting

The process by which employees tailor their job tasks, relationships, and perceptions to better fit their personal skills, interests, and preferences.

Challenging Assignments

Tasks or projects that require significant effort and skill, designed to push individuals or teams beyond their current capabilities.

Larger Scope

Referring to an expansion in scale, breadth, or extent of activities, responsibilities, or impact.