Complying with the Global Investment Performance Standards (GIPS)

About the Authors xi
<p>Preface xiii</p>
<p>Acknowledgments xv</p>
<p>Introduction xvii</p>
<p>PART ONE: Explanation of the GIPS Standards</p>
<p>CHAPTER 1. Fundamentals of Compliance 3</p>
<p>Scope of the GIPS Standards 3</p>
<p>History of the GIPS Standards 4</p>
<p>Governance of the GIPS Standards 5</p>
<p>Organization of the GIPS Standards 7</p>
<p>Fundamentals of Compliance 8</p>
<p>Summary 12</p>
<p>CHAPTER 2. Defining the Firm and Composites 13</p>
<p>Defining the Firm 13</p>
<p>Defining Composites 23</p>
<p>Summary 50</p>
<p>PART TWO: The Methodology for Calculating Returns</p>
<p>CHAPTER 3. Portfolio Return Measurement 53</p>
<p>Single Period Rate of Return 54</p>
<p>Time Value of Money 63</p>
<p>Performance of the Investor: Money Weighted Returns 67</p>
<p>Internal Rate of Return 71</p>
<p>Performance of the Investment Manager: Time Weighted Returns 77</p>
<p>Portfolio Return Calculations for the GIPS Standards 82</p>
<p>Summary 90</p>
<p>CHAPTER 4. Composite Return Measurement 91</p>
<p>Composite Constituents 91</p>
<p>Composite Returns 93</p>
<p>Single Period Composite Return Considerations 97</p>
<p>Multi–period Composite Returns 100</p>
<p>Summary 107</p>
<p>CHAPTER 5. Dispersion and Risk Measurement 109</p>
<p>Internal Dispersion 109</p>
<p>Equal Weighted Dispersion 111</p>
<p>Asset Weighted Dispersion 114</p>
<p>Risk 119</p>
<p>Summary 137</p>
<p>PART THREE: Reporting and Maintaining Compliance with the GIPS Standards</p>
<p>CHAPTER 6. Disclosing and Advertising Composite Performance 141</p>
<p>Required Numerical Information 141</p>
<p>Required Disclosures 149</p>
<p>Length of Time for Disclosures 168</p>
<p>Presentation and Disclosure Recommendations 168</p>
<p>Supplemental Information 170</p>
<p>GIPS Advertising Guidelines 171</p>
<p>Summary 177</p>
<p>CHAPTER 7. Wrap–Fee/SMA, Private Equity, and Real Estate 179</p>
<p>Wrap–Fee/Separately Managed Accounts 180</p>
<p>Private Equity 188</p>
<p>Real Estate 198</p>
<p>Summary 203</p>
<p>CHAPTER 8. Maintaining Compliance with the GIPS Standards 205</p>
<p>Organization and Oversight 205</p>
<p>Return Calculation 211</p>
<p>Error Correction 215</p>
<p>Managing Composites and Presentations 220</p>
<p>Summary 226</p>
<p>CHAPTER 9. Verification 227</p>
<p>Verification 228</p>
<p>Performance Examinations 229</p>
<p>Verification Considerations 230</p>
<p>Required Verification Procedures 234</p>
<p>The Verifier s Report 241</p>
<p>Preparing for Verification 241</p>
<p>Summary 245</p>
<p>Index 247</p>