International Valuation Standards Council

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The International Valuation Standards Council (IVSC) is an independent, not-for-profit, private sector standards organisation incorporated in the United States and with its operational headquarters in London, UK. IVSC develops international technical and ethical standards for valuations on which investors and others rely.

International Valuation Standards Council
IVSClogolowres.jpg
Formation1981
HeadquartersLondon, UK
Website

IVSC is responsible for developing the International Valuation Standards and associated technical guidance. To ensure that the public interest is effectively protected it also engages with other bodies active in the regulation of the financial markets to ensure that valuation issues are properly understood and reflected. IVSC works cooperatively with national professional valuation institutes, users and preparers of valuations, governments, regulators and academic bodies, all of whom can become members of IVSC and play a role in advising the Boards on their agenda priorities.

In developing its standards and technical guidance, IVSC follows a process of issuing discussion papers and exposure drafts for public comment.

The IVSC is recognised by the United Nations Department of Economic and Social Affairs.

Objectives and activitiesEdit

The objectives of the IVSC are to strengthen the worldwide valuation profession by:

  • Developing high-quality international standards and supporting their adoption and use
  • Facilitating collaboration and cooperation among its member organisations
  • Collaborating and cooperating with other international organisations
  • Serving as the international voice for the valuation profession

BoardsEdit

Board of TrusteesEdit

The IVSC is governed by a Board of Trustees responsible for the strategic direction and funding of the organisation. The Trustees are also responsible for the appointment of the Standards Boards and Membership and Standards Recognition Board.[1]

The current Board of Trustees comprises:[2]

  • Sir David Tweedie (Chairman)
  • Ethiopis Tafara (Vice Chairman)
  • Kathleen Casey
  • Anton Colella
  • Ana Maria Elorrieta
  • Mark Gerold
  • Zhang Guochun
  • Jay E Fishman
  • Alan Johnson
  • Christian Mouillon
  • Iseo Pasquali
  • Tom Seidenstein
  • Senator Howard Wetston
  • Tatsumi Yamada

Notable former members:

HistoryEdit

The origins of IVSC lie in the International Assets Valuation Standards Committee (TIAVSC) that was formed in 1981 with the objective of developing consistent standards across national borders. The founder members were a number of professional institutes mainly concerned with real property valuation. The Committee changed its name in 1994 to the International Valuation Standards Committee, and from the late 1990s started to include member organisations concerned with the valuation of assets other than real property.

Following a restructuring of the organization in 2008, its name was again changed, this time to the International Valuation Standards Council. As of 2019, the IVSC has over 120 organisations in membership from around the world.[3] The organisations in membership accredit and regulate the conduct of individual valuers who specialize in the valuation of many different types of assets and liabilities, such as business interests, real property, intangibles, capital equipment and financial instruments.

The International Valuation StandardsEdit

The International Valuation Standards (IVS) are international standards that consist of various actions required during the undertaking of a valuation assignment supported by technical information and guidance. The IVSC's technical boards are responsible for the development and maintenance of the International Valuation Standards. The boards are independent and solicit public comment by issuing discussion papers and exposure drafts.[4]

The latest version of the Standards (IVS 2017) was published in January 2017 and came into effect on 1 July 2017.[5]

Objective of IVSEdit

The objective of the International Valuation Standards (IVS) is to increase the confidence and trust of users of valuation services by establishing transparent and consistent valuation practices. A standard within IVS will do one or more of the following:

  • identify or develop globally accepted principles and definitions,
  • identify and promulgate considerations for the undertaking of valuation assignments and the reporting of valuations,
  • identify specific matters that require consideration and methods commonly used for valuing different types of assets or liabilities.

The IVS consist of mandatory requirements that must be followed in order to state that a valuation was performed in compliance with the IVS. Certain aspects of the standards do not direct or mandate any particular course of action, but provide fundamental principles and concepts that must be considered in undertaking a valuation.

IVS structureEdit

IVS GlossaryEdit

The glossary defines certain terms used in the International Valuation Standards, but does not attempt to define basic valuation, accounting or finance terms, as valuers are assumed to have an understanding of such terms. Defined terms are Asset/Assets, Client, Jurisdiction, May, Must, Participant, Purpose, Should, Significant and/or Material, Subject or Subject Asset, Valuation Purpose or Purpose of Valuation, Valuation Reviewer, Valuer, Weight and Weighting.

IVS FrameworkEdit

This serves as a preamble to the IVS. The IVS Framework consists of general principles for valuers following the IVS regarding objectivity, judgement, competence and acceptable departures from the IVS. The contents contain information on Compliance with Standards, Assets and Liabilities, Valuer, Objectivity, Competence and Departures.

General StandardsEdit

The five General Standards set forth requirements for the conduct of all valuation assignments including establishing the terms of a valuation engagement, bases of value, valuation approaches and methods, and reporting. They are designed to be applicable to valuations of all types of assets and for any valuation purpose. The General Standards are IVS 101 Scope of Work, IVS 102 Investigations and Compliance, IVS 103 Reporting, IVS 104 Bases of Value and IVS 105 Valuation Approaches and Methods.

Asset StandardsEdit

The Asset Standards include requirements related to specific types of assets. These requirements must be followed in conjunction with the General Standards when performing a valuation of a specific asset type. The Asset Standards include certain background information on the characteristics of each asset type that influence value and additional asset-specific requirements on common valuation approaches and methods used. The Asset Standards are IVS 200 Business and Business Interests, IVS 210 Intangible Assets, IVS 300 Plant and Equipment, IVS 400 Real Property Interests, IVS 410 Development Property and IVS 500 Financial Instruments.

Revisions to IVSEdit

The IVSC Standards Board intends to continuously review the IVS and update or clarify the standards as needed to meet stakeholder and market needs. The Board has continuing projects that may result in additional standards being introduced or amendments being made to the standards in this publication at any time.[6]

MembersEdit

The IVSC has an internationally diverse array of members, which they classify as Valuation Professional Organizations (VPO), Institutional Members (IM), Corporate Members (CM), and Academic Members (AM).

Members can be sorted by country, name and member type by clicking on the buttons in the header of the columns.

Country Member Type
  Australia Australian Property Institute VPO
  Australia Australian Valuers' Institute IM
  Belarus Belarusian Society of Valuers VPO
  Bosnia and Herzegovina Association of Certified Appraisers in Bosnia and Herzegovina VPO
  Botswana Real Estate Institute of Botswana VPO
  Brazil Instituto Brasileiro Avaliacoes VPO
  Bulgaria Chamber of Independent Appraisers in Bulgaria VPO
  Bulgaria Chamber of Professional Valuers IM
  Bulgaria Chamber of Independent Appraisers Bulgaria VPO
  Canada Appraisal Institute of Canada VPO
  Canada CBV Institute VPO
  Canada International Association of Consultants, Valuators and Analysts CM
  China China Appraisal Society VPO
  Colombia Registro Nacional de Avaluadores VPO
  Croatia Croatian Society of Valuers VPO
  Finland Finnish Association for Real Estate Valuation VPO
  France Fédération Française des Experts en Evaluation IM
  Georgia Association of Professionals on Land and Realty VPO
  Georgia Expertise Institute for Valuation of Assets of Georgia VPO
  Hong Kong Greater China Appraisal Ltd CM
  Hong Kong Hong Kong Institute of Surveyors VPO
  India The Practising Valuers Association of India VPO
  India Institute of Chartered Accountants of India IM
  India Institute of Cost Accountants of India IM
  India Institution of Valuers of India VPO
  Indonesia Indonesian Society of Appraisers VPO
  Israel Israel Real Estate Appraisers Association (IREAA) VPO
  Italy Consiglio Nazionale Geometri VPO
  Italy Consiglio Nazionale dei Dottori Commercialisti e degli Esperti Contabili IM
  Japan Japanese Institute of Certified Public Accountants IM
  Japan Japanese Association of Real Estate Appraisal VPO
  Kazakhstan Chamber of Professional Appraisers of Kazakhstan VPO
  Kazakhstan Republican Chamber of Appraisers of Kazakhstan VPO
  Kenya Institution of Surveyors of Kenya (ISK) VPO
  South Korea Korea Appraisal Board VPO
  South Korea Korea Association of Property Appraisers VPO
  Latvia Latvian Association of Appraisers VPO
  Lithuania Lithuanian Association of Property Valuers VPO
  Lithuania State Budgetary Institution Property Valuation Oversight Agency IM
  Malaysia The Royal Institution of Surveyors, Malaysia VPO
  Malaysia Khong & Jaafar Sdn CM
  Mexico Federación de Colegios, Institutos y Sociedades de Valuadores de la Republica Mexicana, A.C. (FECISVAL) VPO
  Mexico Instituto de Administración y Avaluos de Bienes Nacionale (INDAABIN) IM
  Namibia Namibian Institute of Valuers VPO
  Namibia Ministry of Land Reform IM
  New Zealand Property Institute of New Zealand (PINZ) VPO
  Nigeria Nigerian Institution of Estate Surveyors and Valuers VPO
  Norway Norges Takseringsforbund VPO
  Philippines Institute of Philippine Real Estate Appraisers (IPREA) VPO
  Poland The Polish Federation of Valuer’s Associations VPO
  Romania The National Association of Romanian Valuers VPO
  Russian Federation Russian Society of Appraisers VPO
  Russian Federation Russian Board of Appraisers VPO
  Russian Federation Self-Regulated Inter-Regional Appraisers Association (SIAA VPO
  Russian Federation The State University – Higher School of Economics, Institution for Real Estate Economics, Moscow VPO
  Russian Federation Ministry of Economic Development IM
  Serbia National Association of Valuers of Serbia VPO
  Slovenia Slovenian Institute of Auditors VPO
  South Africa South African Institute of Valuers VPO
  South Africa South African Council for Property Valuers Profession (SACPVP) IM
  Spain Asociación Espanola de Sociedades de Tasacion VPO
  Spain Asociación Espanola de Analisis de Valor IM
  Sri Lanka Sri Lanka Accounting and Auditing Standards Monitoring Board IM
  Sweden ASPECT - Association for Chartered Surveying, Property Evaluation and Transactions VPO
   Switzerland Swiss Institute of Real Estate Appraisal (SIREA) AM
  Thailand Thai Valuers Association VPO
  Netherlands Raad voor Onroerende Zaken (ROZ, the Real Estate Council) VPO
  Ukraine Ukrainian Society of Appraisers VPO
  Ukraine Pan-Ukrainian Association of Valuation Specialists (PUAVS) VPO
  Ukraine Federation of Appraisers of Business and Intellectual Property IM
  United Arab Emirates Abu Dhabi Municipality, Property Registration Section IM
  United Arab Emirates Taqyeem (Real Estate Appraisal Centre) Dubai Land Dept IM
  United Kingdom Royal Institution of Chartered Surveyors VPO
  United Kingdom Institute of Chartered Accountants in England and Wales (ICAEW) IM
  United States of America Appraisal Institute (AI) VPO
  United States of America American Society of Appraisers (ASA) VPO
  United States of America American Institute of Certified Public Accountants (AICPA) VPO
  United States of America International Finance Corporation (IFC) IM
  United States of America National Council for Real Estate Investment Fiduciaries (NCREIF) IM
  Vietnam Price Control Department, Ministry of Finance IM

SponsorsEdit

The following organizations are listed as sponsors of the IVSC in 2017/18:[7]

ReferencesEdit

  1. ^ "Boards". IVSC. Retrieved 21 June 2017.
  2. ^ "Members of the Board of Trustees". IVSC. Retrieved 21 June 2017.
  3. ^ "Our Members". IVSC. Retrieved 21 June 2017.
  4. ^ "International Valuation Standards". IVSC. Retrieved 21 June 2017.
  5. ^ "IVSC launches new global standards for valuation professions". IVSC. Retrieved 21 June 2017.
  6. ^ "IVS Open Consultations". IVSC. Retrieved 21 June 2017.
  7. ^ "Sponsors". IVSC. Retrieved 21 June 2017.

External linksEdit