Portfolio Valuation
Portfolio managers need to report the fair values of investments in their funds to investors.
In the face of changing regulatory standards and growing investor concerns, venture capital and private equity managers are often asked to measure the fair value of a fund’s investments as part of the reporting process to investors.
Fair value is becoming a generally accepted industry best practice measure. Measuring a portfolio's performance over time at fair value provides more useful information to fund investors, and a fund manager's ability to objectively and fairly assess and report to investors on the performance of the funds it manages is undoubtedly an important factor in considering its management capabilities.
As a result, the valuation of equity fund investments has become increasingly important to the industry, and the need to establish a uniform valuation standard for the industry has become increasingly apparent. Private equity firms, hedge funds, business development companies, limited partnerships, corporations and pension and endowment funds seek objective valuation advice.
What we can help you
The International Private Equity and Venture Capital Valuation (IPEV) guideline is a recognised valuation standard that provides a globally recognised framework for measuring fair value and is compliant with both IFRS and US GAAP.
With our understanding of the IPEV standard and our financial and accounting expertise, we are well placed to assist management in making better business decisions by providing valuations in accordance with reporting standards that meet the needs of investors, fund managers and accounting managers, as well as auditors, in relation to the valuation of entities.
Portfolio valuation services include
- IAS 39 Financial Instruments
- Advising on fair values as promoted by the FASB and the IASB
- Advice on portfolio valuation best practices for alternative asset investors and managers, private equity firms, hedge funds, including practical guidance on industry standards such as the International Private Equity and Venture Capital Valuation (IPEV) guidelines
As a leading independent valuation firm, Pretium Advisory assists clients by providing detailed, transparent and credible valuations. If you need any assistance, please contact us.