GIPS - Composite specific Verification individual, others, cannot, specific, carried

Wendy01

CFAI summary states "Verification cannot be carried out for an individual composite." but goes on to add "Firms [...] may choose to have a further in-depth examination of a specific composite". Also on page 308 actually gives a statement to add "The [named] composite has been examined for the periods []"

I am confused.

So, darkstar and others can composite specific verification be carried out or no??



Edited 1 time(s). Last edit at Sunday, May 15, 2011 at 08:46PM by jbaphna.

PalacioHill

So they must be saying: Its all or nothing verification as always, a single composite verified will not count. BUT once all GIPS compliance is verified, then single composites can be additionally verified...presumably the hot products that the company want to push harder.

Sound right?

strikethree

Verification carried out on the firm level. You can however get performance verification for a single composite beyond the firm verification (which basically checks internal controls).

Verification does not verify the accuracy of composition performance reporting. The third performance verification does verify the accuracy of actual reported results.

dyga

One other thing that helped me in reading the actual GIPS is that it has actual sample of compliant presentation. Take a look and see how many of the disclosures you can identify. It gives you an idea what typical presentation/disclosure MUST have and what disclosures and presentations are somewhat contingent upon certain circumstances.