Q & A Database

The GIPS Standards Q&A database contains questions and answers (Q&As) on various searchable topics that provide additional interpretation on an issue. Q&As are considered to be authoritative guidance and must be followed in order to claim compliance with the GIPS standards.

Content from prior Q&As was included in the GIPS Standards Handbook as much as possible and many Q&As were archived. Change the Status drop-down filter to "Archived" to see the archived Q&As.

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Effective

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1 Result

Archived

Effective: 1 March, 2006 - 31 December, 2019

Categories: Composite Construction

Source: GIPS Executive Committee

We would like to expand, with client acceptance, the market cap range for all accounts in each product to encompass the full range, essentially eliminating the need for two products. How do we approach this from a composite standpoint?

When a firm decides to combine the investment strategies/objectives of two (or more) different composites, the firm would document the changes in client guidelines and create a new composite. The new composite will consist of all portfolios of the combined composites. The existing composites that the firm wishes to combine into this new composite would cease to continue. The new composite would not have historical performance results because the new composite’s strategy is newly implemented. The firm would maintain and have available the performance results of the previous composites.