Historically, we have viewed business continuity plans (or BCPs) as emergency planning for short-term internal disruptions (such as a power blackout or natural disaster) and the occasional short-term market disruption to normal operations. This was the lesson offered by the market volatility and uncertainty in the aftermath of September 11, 2001, and the global financial crisis of 2008.

Recent events, however, have reminded us of the need for implementing robust playbooks that address not only short-term disruptions but also longer-term disruptions. In this Legal Update, we are taking this opportunity to provide investment advisers with a high-level outline of considerations as part of a broader risk assessment for their businesses as they address in real time the market, business, portfolio and personnel disruptions caused by COVID-19.