Platforms Requiring Third-Party Performance Attestation: Implementing the GIPS Standards

March 13, 2018 - 11:00 am
Investment Adviser Private Fund ACA Performance Services
Juila Reyes and Rose Bounds

Although most private wealth managers were once exempt, ACA has observed a substantial number of manager advisory platforms requiring third-party managers to have their performance returns independently validated as a minimum qualification for participating in these platforms. This requirement will drive hundreds, if not thousands, of asset managers to demonstrate greater levels of performance reporting transparency.

The requirements vary amongst the platforms, but typically include:

  • The manager must comply with the GIPS® standards and have an independent third-party verification;
  • The manager must either comply with the GIPS standards and have an independent third-party verification or must have independent validation for active strategies available on the platform; and
  • In the case of presenting model performance, the manager must have an independent track record validation for models available on the platform.

Please join ACA Performance Services’ Julia Reyes and Rose Bounds for a discussion on how to implement the GIPS standards to meet advisory platforms’ requirement for independently verified performance returns. Topics include:

  • Trend towards platforms requiring attestation
  • Steps to claiming compliance with the GIPS standards
  • Common challenges in implementing the GIPS standards
  • Costs and required resources associated with a typical verification engagement
  • Recent Case studies