The AICPA, ASA, and RICS launched the Certified in Entity and Intangible Valuations (CEIV) credential in 2017, but a good number of people in the private funds space are not aware of it. At the recent Duff & Phelps’ 11th annual alternative investment conference in New York City, 40% of the audience hadn’t heard of the CEIV, and fewer than 10 people had the actual credential, according to a report in Private Funds Management. About a third of the audience said the new valuation framework would impact their documentation but wouldn’t change their fair value estimates, while a third indicated it would impact both their documentation and their fair value estimates.
In terms of compliance with the Mandatory Performance Framework (MPF), which sets disclosure requirements, here’s what conference attendees said:
- 25% said they expect to comply with the MPF in 2018;
- 50% said they would start to comply when their auditors forced them;
- 10% will comply when their investors forced them; and
- 10% said they would hope never to have to comply.
There’s a special website where you can find more information on the CEIV credential.