Over the past two decades, the role of professional independent directors in the alternative investment funds industry in the Cayman Islands has greatly evolved. The evolution has accelerated following major high-profile fraud cases; significant changes in U.S. and global economic cycles; and growing demand by regulators and investors alike for better governance and increased independent oversight of the management and administration of investment funds. When establishing a best-in-class governance framework, it is essential to review and consider several key resources in addition to investor and allocator expectations and demands, together with market and industry trends and best practices in governance. In a two-part guest series, Sabrina Foster, independent director and general counsel at Athena International Management, explains how to establish a best-in-class governance framework for Cayman funds. This first article covers board selection and composition, along with on-boarding directors. The second article will review board meetings, service provider reports and board self-assessments. See our two-part series in which a Cayman Islands Monetary Authority regulator discusses key issues for advisers that manage Cayman Funds: “AML, Fund Governance and the Cayman LLC” (Sep. 7, 2017); and “AIFMD Marketing Passport, Whistleblowers and Administrative Fines Regime” (Sep. 21, 2017).