Course Overview
Global investments performance standards (GIPS) are a set of voluntary guidelines adopted by investment management organizations worldwide. GIPS encourages transparency through complete disclosure and fair representation of investment performance and is closely applicable and relevant to asset owners, verifiers, investment firms, etc. GIPS allows investment organizations to compare their performance with competitors. Presenting investment performance results uniformly aids investors inaccurate investment decisions and fosters fruitful trade and commerce within and outside a country.
This Zoe training course will empower you with complete information and understanding of GIPS, necessary to co-exist and stay relevant in a highly competitive business environment. The course covers general information including the history of these standards to comparison of guidelines across various versions and releases. It provides a detailed overview of how GIPS can benefit asset owners, investment management firms, verifiers, etc, thus offering relevant content and knowledge to all concerned with this field.
Why This Course Is Required?
Global Investment Performance Standards (GIPS) have become essential voluntary ethical standards for calculating and presenting investment performance based on principles of fair representation and full disclosure, with over 1,700 organizations from 51 markets worldwide claiming compliance, including all of the top 25 global asset managers. The increasing globalization of financial markets and cross-border investments has created pressing need for consistent methods to measure and report investment performance, enabling investors to make accurate global comparisons while ensuring firms display their commitment to ethics and transparency.
Undertaking this course will provide the necessary skills to successfully function in compliance with GIPS in an increasingly competitive investment landscape. Without comprehensive understanding of GIPS standards, calculation methodologies, and compliance requirements, investment organizations struggle to meet international best practices while competing effectively for global capital allocation opportunities that require transparent and standardized performance reporting.
Research demonstrates that Global Investment Performance Standards (GIPS) have become essential voluntary ethical standards for calculating and presenting investment performance based on principles of fair representation and full disclosure. With over 1,700 organizations from 51 markets worldwide claiming compliance, including all of the top 25 global asset managers, the increasing globalization of financial markets has created pressing need for consistent methods to measure and report investment performance that instills investor confidence in an increasingly competitive investment landscape.
Course Objectives
The key objective of this Global Investment Performance Standards (GIPS) training course is to empower professionals with:
- Detailed information and knowledge of GIPS and related concepts
- The experience, confidence and knowledge to train other professionals on critical aspects related to GIPS
- The understanding and experience to successfully function across any sphere of work related to investment performance, be it as an asset owner, an investment organization or a verifier
- The eye for detail and exposure to review existing practices and protocols of one’s organization to check for the scope for revision in order to be GIPS compliant
- The awareness and understanding to make good use of being GIPS compliant to garner interests of potential investors to grow one’s business multi-fold
- The foresight and maturity to foresee potential challenges and risks related to GIPS implementation and maintenance and to ensure successful compliance
- The experience, knowledge and exposure to undertake positions of international business relations, thereby proving to be a complete asset to one’s organization and securing one’s future prospects therein
- The overall experience and skillset to work in any area of GIPS compliance, thereby increasing one’s opportunities for career growth and progression
Master investment performance standards excellence and drive global competitiveness—enroll today to become an expert in Global Investment Performance Standards (GIPS)!
Training Methodology
The training methodology adopted at Zoe Talent Solutions is a mixed approach, involving theoretical and practical learning. The theory is delivered through detailed presentations by experienced professionals from the relevant domain. The training course content is customisable and is thoroughly checked for changes before the commencement of each training session.
The training framework includes:
- Theoretical learning delivered through detailed presentations by experienced GIPS professionals
- Practical aspects including projects and assignments, role-plays, and case study discussions and resolutions
- Trainee participation given utmost importance with group activity forming an integral part of the training schedule
- Interactive workshops focusing on real-world GIPS implementation scenarios and compliance challenges
Practical aspects of the training include projects and assignments, role-plays, case study discussions and resolutions, etc. Trainee participation is given utmost importance, and group activity forms an integral part of the training schedule. This immersive approach fosters practical skill development and real-world application of GIPS standards.
This unique, innovative, effective format of training adopted by Zoe Talent Solutions is called the ‘Do–Review–Learn–Apply Model’, creating a structured learning journey that transforms GIPS knowledge into operational excellence through systematic practice and implementation.
Who Should Attend?
This Global Investment Performance Standards (GIPS) course is designed for:
- Executives of investment management firms who need to understand and comply with GIPS to stay relevant as professionals in this industry
- Managers and senior leaders of investment management firms who should ensure that all strategic decisions are in line with GIPS
- Potential investors for making effective and appropriate investment decisions
- Financial and legal advisors responsible for aiding the senior management of firms in making better decisions
- Asset owners and verifiers aligned to reviewing and interpreting investment performance
- Any other professional interested to know more about GIPS
Organizational Benefits
With professionals undergoing this Global Investment Performance Standards (GIPS) training course, organizations will derive the following benefits:
- Trained and experienced professionals to check for better compliance and more effective systems and processes
- Regular training of other in-house employees on best practices related to GIPS
- Regular review and revisions in systems and procedures as per changing requirements of GIPS
- Well-maintained and structured documentation as per requirements under GIPS
- Demonstration of integrity and ethical business practices, thus fostering transparency to employees, investors and the like
- Greater investments as a result of increased investor trust and interest because of greater transparency
- Increased performance and exponential growth because of stronger, long-term investments
- Effective risk recognition, control and mitigation by experienced professionals handling all key functions
- Greater prospects for international business opportunities because of compliance with internationally accepted standards
Studies show that organizations implementing GIPS compliance experience significant operational improvements through enhanced transparency, accountability, and standardized performance reporting that increases investor confidence and trust, ultimately attracting new capital and driving growth while promoting fair global competition among investment firms. Training enables organizations to improve their internal processes and procedures for performance reporting by designing systems conforming to GIPS standards, which streamlines reporting processes, reduces errors and omissions, and provides investors with more accurate and timely performance data.
Empower your organization with GIPS expertize—enroll your team today and see the transformation in investment performance transparency and global competitiveness!
Personal Benefits
Professionals opting for this Global Investment Performance Standards (GIPS) training course will benefit in the following ways:
- Thorough understanding and increased knowledge of GIPS and all other related concepts
- Increased confidence and experience to train other professionals on GIPS and related aspects
- Enhanced foresight and awareness to predict and/or identify risks and challenges and make relevant changes to minimize or mitigate the effect of these
- Greater understanding and knowledge to handle important positions and roles related to GIPS as well as international standards
- Better understanding and knowledge to continuously review and update, if necessary, existing practices and policies to help one and one’s firm stay relevant in the competitive environment, thus securing one’s future and growth prospects in the industry
- Increased experience and confidence to make use of GIPS compliance to foster better investments and garner greater business for one’s organization, in turn inviting further opportunities for growth and progression across one’s organization
- Enhanced skill set and experience in all aspects of GIPS compliance, thereby increasing opportunities for progression across any role or organization
- Relevant skills, confidence, experience and knowledge to work on key roles involving international business opportunities for one’s organization
Course Outline
The Global Investment Performance Standards (GIPS) course covers the following topics for understanding GIPS:
Module 1 – Global Investment Performance Standards (GIPS) – An Overview
- History
- Definition and governance
- Objectives and purpose
Module 2 – Benefits of Compliance with GIPS (2020) – Asset Owners
- Voluntary commitment to performance transparency and comparability
- Adherence to global best practices of investment performance valuation
- Establishment of strong investment performance procedures and policies
- Same performance standards for external investment manager hiring
Module 3 – Benefits of Compliance with GIPS 2020 – Verifiers
- Consolidation of verification guidance
- Revized verification report language
- New verification planning requirements
- Highlights of required testing procedures
- Maintenance of verifier documentation
Module 4 – Benefits of Compliance with GIPS 2020 – Firms
- Greater trust and investor interests
- Performance comparability
- Ethical and uniform practices across the competition
- Global prospects
Module 5 – Sections of GIPS (2020) for Firms
- Compliance fundamentals
- Input data/calculation methodology
- Composite and pooled fund maintenance
- Composite time-weighted return report
- Composite money-weighted return report
- Pooled fund time-weighted return report
- Pooled fund money-weighted return report
- GIPS advertising guidelines
Module 6 – Key Changes Between GIPS 2010 and GIPS 2020
- Differentiated reporting for composite versus pooled funds
- More focus on portfolio structure/less on asset classes
- More flexibility for use of money-weighted funds versus time-weighted funds
- Ability to declare carved-out performance with allocated cash
- Greater options for advertising GIPS compliance
Module 7 – Verification Phases
- Planning
- Testing
- Testing procedure wrap-up
- Management representation letter
- GIPS verification report
Module 8 – GIPS Verification Procedures
- Understand firm and policies/procedures
- Understand valuation and performance calculations
- Review firm definition and assets
- Review asset existence and ownership
- Review composite membership/benchmarks/presentations
- Review list of composite descriptions
Module 9 – Confusing Aspects of GIPS
- Discretion
- Minimum account size
- Large vs. significant cash flows
- Composite construction
- Verification
- Standard deviation
- Advertising guidelines
Real World Examples
The impact of Global Investment Performance Standards (GIPS) training is evident in leading implementations:
- AIA Insurance Company GIPS Implementation (Hong Kong)
Implementation: AIA became the first asset owner in Asia Pacific to adopt GIPS standards, implementing comprehensive compliance frameworks that ensured investment performance was complete and fairly presented regardless of whether assets were managed internally, externally, or both.
Results: The GIPS implementation required establishment of robust investment performance policies and procedures, allowing AIA to demonstrate to oversight bodies and the general public a voluntary commitment to follow ethical standards while maintaining confidence that data presented to oversight bodies was consistent and transparent. - CFA Institute Global GIPS Implementation (Global)
Implementation: Research demonstrates that the GIPS standards have achieved remarkable global adoption with organizations from 51 markets worldwide claiming compliance, facilitated through the Investment Performance Council’s convergence strategy that transitioned existing local standards to GIPS standards while evolving GIPS to incorporate local best practices.
Results: This global implementation includes 25 countries throughout North America, Europe, Africa, and Asia Pacific, with 9 countries having IPC-endorsed Country Version of GIPS (CVG) including Australia, Canada, Ireland, Italy, Japan, South Africa, Switzerland, United Kingdom, and United States, effectively creating one improved standard for investment performance calculation and reporting worldwide.
Be inspired by industry-leading GIPS achievements—register now to build the skills your organization needs for investment performance excellence!
