How Deloitte helped a
client simplify the
valuations process
Through technology and some heavy lifting, Deloitte helped a client achieve cost efficiencies for its valuations
A FIRM LACKING VALUATIONS
RESOURCES TURNED TO DELOITTE
The Situation
A large investment management firm had a resource problem. It needed to expand resource capacity, increase efficiencies, achieve greater scale, and reduce risks – all within their valuation function. The company required a managed service solution to handle valuations so its highly paid portfolio managers and internal resources could be focused elsewhere instead of compliance.
Steering this client into the new direction was its corporate leadership that wanted the company to focus on its core business—investment management—and not ancillary issues such as building technology and tracking new government regulations for compliance.
The internal valuation team was also too small to handle the volume of work and range of investment types, which made it nearly impossible for the company to meet the basic valuation policy guidelines. Often, the company found it had to outsource valuations to four different providers, which created risks in efficiency and alignment.
Another risk was potentially failing to institute and follow the latest valuation policies and procedures which could negatively impact a fund, create disastrous results for investors, and harm the firm’s reputation in the market.
THE SOLVE
Because of its extensive experience in portfolio valuation services (PVS) and ValueDTM, our purpose-built valuation technology, Deloitte was the obvious choice to establish a suite of managed services to help the client right their ship.
First, Deloitte embedded more than 20 consultants within the company to conduct the valuations. They also helped incorporate ValueD, a proprietary tool designed to automate a full spectrum of investments so that managers can run their own reports, collect and track data, and reduce valuation time so they can focus more on helping their clients. Deloitte professionals added to the efficiency by working side-by-side with the client’s teams to create models, work with auditors and regulators, and simplify the information delivery process.
DELOITTE HELPED BOOST EFFICIENCIES
FOR A
VALUATION PROCESS.
The Impact
Improved governance, greater controls, better cost efficiencies, and confirmation that their valuations were being held to higher standards – they are all benefits the client gained by working with Deloitte. By augmenting their capabilities with Deloitte’s technology and resources, the client is better able to focus on its core competencies, while having increased confidence in its valuation process. Deloitte’s technology was designed for global reach, which helped make the valuation process more efficient, no matter where the data resided.
Deloitte’s PVS managed services model generated value: The less time investment managers had to spend on valuations—collecting and tracking data, generating reports, and more—the more time they could spend with their clients and, perhaps more importantly, more time finding ways to grow their assets.
Deloitte helped the client reduce costs on a global scale by incorporating new technology that automated parts of the valuation process and made creating and generating reports easy. Because of the due diligence baked into the technology, the client was better positioned to be on top of changing regulations and procedures.
-
Marissa Wolpinsky, CPA
Manager
Deloitte Risk & Financial Advisory
mwolpinsky@deloitte.com
+1 212 653 5615 -
George Psarianos
CS Managing Director
Deloitte Risk & Financial Advisory
gpsarianos@deloitte.com
+1 212 436 6130 -
Bruce Spector
Specialist Leader
Deloitte Risk & Financial Advisory
brspector@deloitte.com
+1 212 436 2311
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