Six Saudi organizations claims compliance with GIPS

GIB Capital Asset Management, NCB Capital, Jadwa Asset Management, Morgan Stanley Investment Management, Ashmore Group, and the Saudi Arabian Monetary Authority (SAMA), have announced compliance with the Global Investment Performance Standards (GIPS) from the CFA Institute.

Introduced in 1999, the GIPS are universal, voluntary standards based on the fundamental principles of full disclosure and fair representation of investment performance. They are administered by the CFA Institute and have been adopted by more than 1,700 firms and asset owners in more than 40 markets around the world, including all or a portion of 24 of the top 25, and 85 of the top 100, asset managers globally, according to data from Cerulli Associates.

“The GIPS standards allow firms and asset owners to demonstrate that investment performance reporting meets globally accepted ethical best practices,” said William Tohmé, CFA, senior head of the Middle East and North Africa, CFA Institute. “Adopting the GIPS standards indicates the commitment which these organizations are making to using the highest rigorous performance calculation and presentation standards in their reporting. The GIPS standards are critical to integrity, transparency, and putting the interests of investors and beneficiaries first in one of the fastest growing markets in the MENA region, and the support of CFA Society Saudi Arabia has been instrumental in bringing the commitment of these organizations to fruition.”

Karyn Vincent, CFA, CIPM, senior head of global industry standards, CFA Institute, said: “While many asset managers around the world have adopted the GIPS standards as a way to strengthen reporting and boost transparency, these organizations are truly advancing the investment profession by employing a higher standard.”

Ghadah Mazi, board member and GIPS sponsor chair, CFA Society Saudi Arabia, said: “Driven by investor requirements for greater transparency, such development in the region plays a key role in building trust in the investment management industry as it flourishes locally, while also spurring innovation and transformation. With the increasing integration of the capital markets, we encourage more firms and asset owners to lead by example and contribute to building the local investment management industry.”