GIPS® Standards for Asset Owners
2020 GIPS Standards for Asset OwnersView the GIPS standards (PDF)
As a best practice, asset owners not only should demand compliance with the Global Investment Performance Standards (GIPS®) from firms they hire, but also can benefit from adopting the standards themselves.
Explanation of the Provisions
- Explanation of the Provisions in Section 21 – Fundamentals of Compliance (PDF)
- Explanation of the Provisions in Section 22 – Input Data and Calculation Methodology (PDF)
- Explanation of the Provisions in Section 23 – Total Fund and Composite Maintenance (PDF)
- Explanation of the Provisions in Section 24 – Total Fund and Composite Time Weighted Return Report (PDF)
- Explanation of the Provisions in Section 25 – Additional Composite Money-Weighted Return Report (PDF)
- Explanation of the Provisions in Section 26 – GIPS Advertising Guidelines (PDF)
Tools and Resources
Why Should Asset Owners Demand Compliance from External Managers?
The GIPS standards are a globally accepted industry standard for the calculation and presentation of historical investment performance. Based on the principles of full disclosure and fair presentation, they enable investors to compare the past performance of asset managers and conduct higher quality due diligence. Additionally, using GIPS compliance as a criterion in manager searches improves efficiency because it identifies a subset of firms committed to the fair and transparent presentation of their track record.
Why Should Asset Owners Comply with the GIPS Standards?
Compliance with the GIPS standards signals – to beneficiaries and oversight bodies – a commitment to adhere to the highest ethical principles and global best practices for the reporting of investment performance. It improves the quality of performance reporting for all assets managed by an asset owner - both internally and externally managed mandates. The process of attaining and maintaining compliance provides an opportunity to adopt robust policies, procedures, and controls.
Already complying with the GIPS standards and ready to submit the GIPS Compliance Notification Form? Start the process now.
What Leading Asset Owners Say about the GIPS Standards
Adopting the GIPS standards indicates our commitment to use the highest rigorous performance calculation and presentation standards in our reporting. The GIPS standards are a critical part of our commitment to integrity, transparency, and the interests of our beneficiaries.
We are proud to be one of only a handful of large public pension plans maintaining GIPS compliance in reporting our performance to all PRIM stakeholders. It’s part of our commitment to maintain the highest level of integrity and transparency possible — consistent with the CFA Institute’s goal to bring about an ethical, global reporting standard.
The GIPS standards trademark should be used in accordance with the GIPS Standards Trademark Usage Guidelines.