quick question: GIPS

[outlier_1201]

hey fellas, how do i intepret the following statement:
“……after presenting 5 years of performance, the firm must present additional annual performance up to a minimum of 10 years”.
is it <=10 or >=10?

 

[cpk123]

after 5 years - show performance presentation 1 year at a time, till you reach 10 years.

 

[McLeod81]

So basically the requirement is to show 10 years of compliant performance once it is available. You can’t start dropping off earlier performance until you have reached 10 years of compliant perf.

 

[epyon96]

I would interpret it as for existing firms who wants to start being GIPS compliant, they have to show 5 years of historical performance or more. When they have 10 years, they have to keep the record showing minimum of 10 years.
For brand new firms who want to be GIPS compliant at the beginning, they need to show since inception until 10 years is reached.

 

[tulkuu]

5 years vs 10 years of perfomance:
At the beginning, a GIPS-compliant firm presents its first GIPS-compiant performance for five or more years.
But, once the firm claims GIPS-compliant, the “rule” is more strict – it has to keep 10 years of performance in the report.
What if the firm is GIPS-compliant in the first year but fails to be compliant in the second year?

 

[epyon96]

Agree with Tulkuu