Understanding Verification in GIPS

Hard Global Investment Performance Standards Verification

As a portfolio manager for a large investment firm, you are preparing performance reports according to the Global Investment Performance Standards (GIPS). Your firm is considering undergoing a verification process to enhance credibility. Verification is an essential aspect of GIPS compliance.

Which of the following statements best describes the verification process under GIPS?

Verification confirms that the firm's performance has been prepared in accordance with GIPS but does not assess the accuracy of the underlying performance calculations.

Verification ensures that the firm's performance has been independently audited and adjusted to comply with GIPS principles.

Verification specifically involves an examination of the firm's historical performance by a third party to ensure complete compliance with all GIPS requirements.

Hint

Submitted3.6K

Correct2.6K

% Correct72%