City of London funding to establish London as global centre for valuation
The City of London Corporation has agreed a five-year funding programme to accommodate the International Valuation Standards Council (IVSC) within the Square Mile. In doing so it has recognised the IVSC, led by Sir David Tweedie, as the pre-eminent independent global valuation standard setter across all asset classes.
The financial crisis of 2008 demonstrated that the lack of valuation standards, particularly for the valuation of financial instruments, is a significant weakness in the global financial system. The City of London’s support will further assist the IVSC in its mission to enhance confidence in the valuation process through the creation and maintenance of high-quality standards and guidance. It also confirms London as the centre for the emerging global valuation profession.
Mark Boleat, Chairman of the City of London’s Policy & Resources Committee, said:
“The City of London is pleased to support the IVSC establishing its headquarter in the Square Mile. Financial innovation is the key for the City to stay ahead as the world’s international financial centre and we are acutely aware that there is a lack of national and international standards in valuation. The City supports international standard setters such as the IVSC in establishing a new benchmark which we hope will be rolled out across the world.
“This also fits with our continuous effort to ensure that international organisations related to financial services are located here in the City where practicable.”
Sir David Tweedie, IVSC chairman, commented:
“Financial support by the City Corporation to the International Accounting Standards Board in its early years helped to establish London as the global centre for accounting standard setting. As the IVSC moves forward with its ambitious agenda to develop not only international valuation standards but also the professional infrastructure supporting the application of those standards, we would anticipate the same happening for the valuation profession. The IVSC is very grateful to the City Corporation for the support it is lending to the IVSC at this critical stage in the development of the organisation.”