A few other money management executives serve on corporate boards:
• John C. Bogle, founder and retired senior chairman of Vanguard Group and president of the Bogle Financial Markets Research Center, has been a director of Instinet Group Inc. since 2001.
• C. Kim Goodwin — who was chief investment officer-equities at State Street Research & Management Co. until she left Jan. 31 after the firm was acquired by BlackRock Inc. — has been a director of Akamai Technologies Inc. since 2004.
• Robert C. Pozen, non-executive chairman of MFS Investment Management, has been a director of Bank of New York Co. Inc. since 2004, and BCE Inc., the parent of Bell Canada, since 2003. Mr. Pozen is a former vice chairman of Fidelity Investments and president and CEO and CIO of Fidelity Management & Research Co.
• Elizabeth A. Monrad, executive vice president and chief financial officer of TIAA-CREF, has been a director of Colgate-Palmolive Co. since last year.
• Steven L. Scheid, chairman and CEO of Janus Capital Group Inc., has been a director of Autodesk Inc. since 2002.
• Gerald B. Smith, chairman of Smith Graham & Co., has been a director of Cooper Industries Inc. since 2000 and Pennzoil-Quaker State Co. since 1998.
• Thomas W. Jones, who was chairman and CEO of global investment management of Citigroup Inc. until he left last October, has been a director of Altria Group Inc., the parent of Philip Morris Inc., since 2002.
• Sheryl K. Pressler, former CIO of the California Public Employees' Retirement System and then CEO of Lend Lease Real Estate Investments Inc., is a director of Stillwater Mining Co. since 2002. She was a director of Nuevo Energy Co., until it was acquired by Plains Exploration & Production Co. in 2004, after serving on the board since 2002.
• W. Allen Reed, president and CEO of General Motors Asset Management Corp., has been a director of Temple-Inland Inc. since 2000. He is a special case among money-manager directors, working for both a pension sponsor and a money manager, which oversees GM pension fund investments and offers investment management for external clients.
"If a board is looking to add independent directors with strong finance, accounting and investment experience, the logical place to look is people in the money management industry — and specifically people who held senior investment management positions managing the firm, not just investments," Ms. Pressler said.
Charles M. Elson, law professor and director of John L. Weinberg Center for Corporate Governance at the University of Delaware, Newark, said it was "a good idea" to have money managers as directors. "They are representatives of the interest of holders. Who would have better incentive" to monitor management and promote shareholder value "than those whose livelihood is based on generating good returns from the companies you own?"