As asset managers continue to oversee new funds, asset classes and instruments, the valuation processes and resourcing across these investments and investor reporting become increasingly complex, difficult to scale, and expensive to maintain. In addition, the expectations of investors in the funds and regulators, is increasing with respect to the rigour of valuation processes and external validation of investment thesis. With the advent of innovation in the asset management sector, there now exists the opportunity to bring to bear technological solutions and automation to the processes.
Deloitte can assist asset managers to enhance their operating model by leveraging one of Deloitte’s portfolio valuation services (PVS) models to provide valuation services that can:
- Liberate resources: the portfolio manager and finance professionals’ capacity can focus on higher value-add and strategic activities
- Streamline the valuation process to drive efficiency and effectiveness across the spectrum of investments and requisite reporting activities
- Scale, flex and adapt to the asset manager’s valuation circumstances
- Reduce operational, regulatory, and audit risks
- Synergy: experience cost synergies via a demonstrated concept of managed service
PVS Delivery Models
- Traditional service model: Provided by Deloitte, our team assists the asset management team to provide one of the following valuation services on a recurring and ongoing basis: third-party estimate of fair value, or a concurrence opinion of clients’ valuation
- Managed service model: Process whereby Deloitte personnel including subject matter specialists leverage our cloud-based technology (e.g., ValueD™) to assist the asset management team to provide internally prepared valuations and reporting on a recurring and ongoing basis
We have experience providing the following services to fund managers and private equity clients:
- On-going valuation services for portfolio of privately held and illiquid assets (infrastructure, private equity, private debt, real estate investments) for financial reporting and unit pricing
- Purchase price allocation services Preparation of financial models for deal evaluation
- Valuation of property, plant, and equipment for regulatory purposes (e.g., tax consolidation and stamp duty purposes)
For more details, please reach out to Tapan Parekh.