Private equity firms will use more independent valuation experts specializing in portfolio valuation and alternative, illiquid assets for fund-level analyses and financial reporting requirements, according to a report from Valuation Research Corp. Fund managers are choosing between two distinct paths in this partnership: (1) an entirely outsourced portfolio valuation engagement; or (2) positive assurance, says the report. There is an urgency to this, with audit season coming up and the feeling that valuation scrutiny will be a top priority for all auditors.