On June 19th, at Investcafe's office representatives of CFA Association Russia, Thomson Reuters, National League of Management Companies, and Investcafe discussed items related with Global Investment Performance Standards (GIPS).

Topics included ethical standards that should be used by investment managers for creating performance reports that ensure fair representation and full disclosure of investment results. The standards were created by the CFA Institute and governed by the GIPS Executive Committee. They are standardized guidelines for reporting the ability of an investment firm to make profits for investors. 

Following questions were considered: 

-Why thousands of companies around the world adopt GIPS® as the basis for assessing the profitability of their portfolios?

-What are the advantages and disadvantages of using GIPS in the Russian economy?

Vladimir Tutkevich, Executive Director of the CFA Association Russia, and Natalia Sorokina, CFA, member of the Board of Directors of the CFA Association Russia, discussed the following:

• The evolution of the GIPS

• The different schemes of interaction within the investment community (GIPS certification, compliance, etc)

• The development of GIPS in Russia.

Vladimir Vladimirov, a business development specialist of Thomson Reuters, highlighted the following issues:

• Prerequisites for the emergence of common standards for the assessment and disclosure of the effectiveness of investment management

• Key elements for the requirements and the basic postulates of GIPS.

• Incentives for MC to adopt the standards

• Analysis of investment portfolios own decisions vs. portfolio analyst Thomson Reuters

Dmitry Aleksandrov, President of the National League of management companies, reviewed following topics: 

• Private trustees and the positive experience in verification activities.

• Mutual funds: information disclosure as a way to increase the number of shareholders.

• Pension reform as a first step towards the adoption of international practices in the Russian jurisdiction

• Pension benchmark response to the request of the customers of pension funds

Mikhail Kuzmin, Analyst at Investcafe, highlighted these topics:

• current changes in the pension system,

• the rating of the APF

During the webinar, online guests were able to ask questions, with panelists giving guidance and providing clarity to topics.