The Board of Directors at Strong Mutual Funds on Friday named former KPMG partner Phillip O. Peterson president of the funds, in charge of overseeing compliance at the tainted fund shop.
In the new position of president, Peterson will monitor on a daily basis the companys internal controls and oversee its chief compliance officer. He will also be responsible for monitoring the implementation of any recommendations made by David Ruder, a former chairman of the Securities and Exchange Commission that was hired as a consultant in November.
Ruder was hired when the companys founder, Richard Strong, resigned as chairman of Strong Mutual Funds after allegations surfaced that market-timed his own funds. As the result of withering criticism, he later stepped down as chairman and chief executive of parent company Strong Financial and announced plans to divest his majority stake in the firm.
Specifically, Peterson will oversee the review of fund performance, fees and sales. Another task that falls under his bailiwick is assessing issues related to the board governance process. The Menomonee Falls, Wisc.-based company said he is expected to provide "a conduit for employees to raise compliance concerns directors of Strong Mutual Funds.
Peterson brings over thirty years of experience in the mutual fund business including managing KPMGs mutual fund practice. He has also served as an independent director on two mutual funds in recent years.