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Independent Review Committee information


An Independent Review Committee (IRC) is a special committee that is required to be part of the governance structure of every investment fund that is offered to the public in Canada. IRCs are currently unique to the investment fund business in Canada, as other countries have dealt with the inherent conflict of interest involved in running public investment funds in different ways. For example, in the United States of America, mutual funds have been required to have independent directors ever since 1935.

In Canada, a securities regulation called National Instrument 81-107 Independent Review Committees for Investment Funds (the Instrument) requires every public investment fund to have a fully independent body, called an Independent Review Committee, whose role is to oversee all decisions involving an actual or perceived conflict of interest faced by the fund manager in the operation of the fund.[1] The Instrument sets out an independent oversight regime for all publicly offered investment funds that is intended to improve investment fund governance in Canada.

  1. ^ "National Instrument 81-107 Independent Review Committees for Investment Funds" (PDF). Ontario Securities Commission (the unofficial consolidation version). 28 September 2009. Archived from the original (PDF) on 9 May 2010. Retrieved 5 February 2022.

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