The Global Investment Performance Standards (GIPS) are a set of standardized, industry-wide ethical principles that guide investment firms on how to calculate and present their investment results to prospective clients. GIPS verification is an independent third party review of the performance, processes and procedures of an investment management firm.
Wipfli experts conducting GIPS verifications take the following steps:
- Validate GIPS policies and procedures
- Review composite presentations to ensure that all required data and disclosures are presented
- Verify annual returns and composite statistics on GIPS presentations
GIPS compliance was once a proactive advantage. It is now a disadvantage not to comply, as compliance is considered a de facto requirement in the institutional marketplace. Verifications work the same way—most compliant firms choose to have them done. This adds confidence and peace of mind for both the business and prospective clients.
Brian Walczak, CPAAs an audit partner with more than 17 years of accounting experience, Brian has experience in assisting companies in the manufacturing, distribution, and service industries, including entities that are privately held, private equity, and ESOP/employee owned. He is a firmwide leader of Wipfli’s employee benefit plan audit services practice and Wipfli’s global investment performance standards verifications and consulting practice.