Neil Daniele
About Neil Daniele
Neil Daniele is the Fund’s Secretary (since 2002) and Chief Compliance Officer (since 2005), age 65 as of October 14, 2025, and a Managing Director at Nomura Asset Management U.S.A. Inc. (“NAM‑U.S.A.”) since 2007; he also serves as Chief Compliance Officer at Nomura Corporate Research and Asset Management Inc. (“NCRAM”) and has served as Corporate Secretary of NAM‑U.S.A. since 2013 . In closed‑end fund filings, officer compensation is not tied to Fund TSR or financial performance; instead, the management agreement requires NAM‑U.S.A. (the manager) to pay all officer compensation, and the Fund discloses only Independent Director fees . As a result, pay‑for‑performance metrics for Daniele (e.g., revenue/EBITDA/TSR linkages) are not disclosed by the Fund; his responsibilities center on compliance oversight, governance, and risk controls across the Fund and NAM‑U.S.A. affiliates .
Past Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| NAM‑U.S.A. | Managing Director; Chief Compliance Officer | MD since 2007; CCO since 2005 | Leads compliance program for NAM‑U.S.A. and the Fund; provides governance reporting to the Board and committees . |
| Japan Smaller Capitalization Fund, Inc. (JOF) | Secretary; Chief Compliance Officer | Secretary since 2002; CCO since 2005 | Officer charged with Fund compliance reporting, Section 16 oversight, and governance processes; signs official correspondence (e.g., fidelity bond filings) . |
| NCRAM (Nomura Corporate Research & Asset Management Inc.) | Chief Compliance Officer | Since 2009 | Oversees compliance at credit-focused affiliate; provides cross‑entity compliance leadership . |
| Nomura Funds Research & Technologies America, Inc. | Chief Compliance Officer | Since 2009 (historical) | Broader Nomura affiliate compliance coverage (historical disclosure) . |
External Roles
| Organization | Role | Years | Notes |
|---|---|---|---|
| NAM‑U.S.A. | Corporate Secretary | Since 2013 | Corporate governance role at manager; supports Fund governance . |
| NCRAM | Chief Compliance Officer | Since 2009 | External affiliate role; complements Fund CCO responsibilities . |
| Nomura Funds Research & Technologies America, Inc. | Chief Compliance Officer | Since 2009 (historical) | Historical external CCO role across Nomura affiliates . |
Fixed Compensation
| Item | Disclosure | Source |
|---|---|---|
| Compensation payer | NAM‑U.S.A. pays all compensation of Fund officers (and affiliated Directors) under the Management Agreement | |
| Fund‑level officer pay | Not disclosed; Fund only discloses Independent Director fees | |
| Independent Director fees (context) | Annual fee $30,000; $3,300 per in‑person/virtual meeting; $2,200 per telephonic meeting; Chair fees: Board $10k, Audit $5k, Nominating $2.5k, Governance $2.5k | |
| Example Director compensation (FY 2025) | Buck $56,500; Chemidlin $54,800; MacHarg $52,300; Ouimet $51,200; Laby $6,600; Andoh $0 |
Performance Compensation
| Incentive Element | Disclosure | Vesting/Triggers | Source |
|---|---|---|---|
| Cash bonus, target % | Not disclosed for Fund officers (paid by NAM‑U.S.A.) | Not disclosed | |
| Stock awards (RSUs/PSUs) | No Fund equity awards disclosed for officers | Not disclosed | |
| Options | No Fund option grants to officers disclosed | Not disclosed | |
| Performance metrics (e.g., TSR/EBITDA) | Not linked to Fund‑level officer pay; Fund does not disclose officer performance plan metrics | Not disclosed |
Equity Ownership & Alignment
| Item | Disclosure | Source |
|---|---|---|
| Officer‑specific JOF holdings | Not itemized; Fund reports group ownership only | |
| Officers & Directors (group) | Aggregate ownership less than 1% of outstanding JOF shares (as of Sep 26, 2025) | |
| Pledging/Hedging | No pledging/hedging disclosures for officers in Fund proxy | |
| Ownership guidelines | Not disclosed for Fund officers |
Employment Terms
| Term | Disclosure | Source |
|---|---|---|
| Election & term | Officers are annually elected/appointed by Directors; serve until resignation/removal/disqualification | |
| CCO oversight | Governance & Compliance Committee oversees compliance policies and recommends CCO designation (Rule 38a‑1) | |
| Contract, severance, change‑of‑control | No officer employment contracts, severance multiples, or CoC terms disclosed by the Fund; compensation governed by manager agreement | |
| Clawbacks, gross‑ups, perquisites | Not disclosed by the Fund for officers | |
| Section 16 filings | Fund states officers/directors/10% holders complied with Section 16(a) reporting in the most recent fiscal year |
Additional Governance/Compliance Signals
- Power of Attorney designations include Daniele as attorney‑in‑fact authorized to sign Forms 3/4/5 for certain insiders, evidencing entrusted compliance authority (March 25, 2014) .
- Fidelity bond filings and board approvals are addressed under Daniele’s signature as Secretary & CCO, reflecting direct responsibility for risk coverage and controls .
Investment Implications
- Pay‑for‑performance transparency is low at the Fund level for officers because all officer compensation is paid by NAM‑U.S.A.; Fund proxies do not disclose Daniele’s salary/bonus/equity, nor performance metrics or vesting schedules, limiting direct alignment assessment from Fund documents .
- Retention risk appears low given very long tenure (Secretary since 2002; CCO since 2005) and continued designation as CCO across Nomura affiliates; any change in NAM‑U.S.A. management structure would be more informative than Fund proxies for retention analysis .
- Insider selling pressure/trading signals are constrained by minimal officer group ownership (<1% collectively) and lack of itemized officer holdings; monitor Section 16 forms and any future Form 4 filings for signal changes, but Fund confirms compliance in recent periods .
- Governance confidence: recurring disclosure of committee oversight and compliance program reporting, plus fidelity bond administration under Daniele’s signature, supports robust compliance infrastructure rather than incentive‑driven pay levers at the Fund .