The Standards Steering Committee, on behalf of the API, has submitted a formal response to the IVSC Standards Review Board in relation to the IVS Perspectives Paper ‘Getting the Process Right: Exploring Valuation Risk under IVS’.

A copy of the full API response to the IVSC Standards Review Board is available on the API Advocacy page, and the IVSC Perspectives Paper.

The API would like to thank the members of the IVSC Valuation Risk Working Group for preparing and releasing the Perspectives Paper, which explores the concept of valuation risk and how it arises from the valuation process itself.

The API largely agrees with the discussions and findings of the Perspectives Paper, although recommends and encourages the IVSC technical boards to consider changing the term “valuation risk” (which means different things to different individuals and entities, and therefore, could be misinterpreted differently by individuals or entities) to “valuation process risk” and appropriately defining the term to reduce confusion for valuers and their clients.

The API would like to thank the members of its IVS Technical Working Group and the Standards Steering Committee for their contributions, knowledge and insights, which formed the basis for the API’s responses and comments.

Read the Paper

If there are any queries in relation to this matter, please contact the Standards team at [email protected].