Strategy Verification

Designed to bring third party credibility to the historical track record for a specific strategy, Strategy Verification engagements are designed to examine your adherence to disclosed methodologies for the calculation of investment performance results. Such an opinion will be issued as an Independent Verifier’s Report.

What does a strategy verification test?

Strategy Verification procedures include, but not limited to, the examination of the books and records as they relate to strategy performance calculations.  

  • Review of firm policies and procedures for the calculation of investment performance.
  • Tests to ensure that appropriate accounts have been included in the strategy/strategies in accordance with the firm’s policies and procedures. Tests of the computation of the strategy/strategies in accordance with the prescribed methodology, including market value weighting of strategy returns.
  • Tests on individual portfolios, to ensure that returns are calculated in accordance with the firm’s policies and procedures.
  • Review of any benchmark results and other information to be included in the schedules or notes to schedules. Review of selected disclosure presentations and/or other presentation materials for adherence to industry accepted practice of disclosure and presentation.