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International valuation standards gain traction at crucial moment

12 November 2020: At a time of economic uncertainty, the ability to create trusted valuations of assets is more important than ever. Valuations expert Andrew Strickland describes the development of valuation standards and how IVS2020 aims to provide clearer valuations of certain equity securities.

The accurate valuation of businesses and assets underpins confidence in markets and is relevant to many finance roles. Valuations are vital not only in mergers, acquisitions and sales, but also for financial reporting, tax purposes and in a variety of legal proceedings.

Understandably, there has been an increasing desire for more confidence in how such valuations are created. The first standards for undertaking valuations were created by the Royal Institution of Chartered Surveyors and focused on real estate assets.