This study examines how board independence affects fund performance related to the investment experience of independent directors. Using the 2001 SEC amendment as an exogenous shock, I find that board independence does not affect fund performance on average. However, when a board has independent directors with investment experience, it boosts fund performance. This study also finds that a fund manager is less constrained and contractual management fee is more aligned with fund performance under such a board. The findings suggest that board independence is not always beneficial to fund shareholders. Instead, its effectiveness varies depending on independent directors’ investment experience.