GIPS Verification

Review Smythe’s plans for the 2018 verification audit, and comment on whether each point adheres to the Code and Standards.

You have run over the allotted time to provide your answer.

Which of the following points did you say adhere to the Code and Standards? (Select all that apply.)

No, that's not right.

That's right.

No, that's not right.

That's not true.

In summary: a. When it comes to starting a marketing campaign as soon as the verification firm completes its audit, Smythe isn't able to market McGregor Inc. as being in compliance with GIPS standards until the verification firm issues its verification report. b. As far as relying on the working papers of previous auditors, while the verification firm can use the work of previous auditors, GIPS standards require the firm to verify both the reputation and work of the previous auditors and document the process by which it reached a conclusion about the reliability of this work. c. Regarding the exclusion of the non-marketed portfolios from verification, in short, all fee-paying discretionary portfolios need to be included in a verification audit, and not all of the non-marketed portfolios are nondiscretionary. The distinction of marketed versus non-marketed isn't relevant to the audit.

Starting the marketing campaign as soon as the verification firm completes its audit

Relying on the working papers of previous auditors

Excluding the non-marketed portfolios from verification

None of the points adhere to the Code and Standards

Out of time step

Other responses

Proceed to step