CATEGORY: NEWS AND ANNOUNCEMENTS, PRESS RELEASES
Singapore, 28
August 2024 – The IVAS-IVSC Business
Valuation Conference 2024 themed ‘Intangible Impact: Unlocking Business Value
in the New Economy’, featured 21 speakers and panellists, and saw over 1,000 participants
including policymakers, senior business leaders, valuation professionals, Chartered
Valuer and Appraiser (CVA) Charter Holders and Associate CVAs. For the first
time, the conference jointly organised by the Institute of Valuers and
Appraisers Singapore (IVAS) and the International Valuation Standards Council
(IVSC), was held in collaboration with the Intellectual Property Office of
Singapore (IPOS), coinciding with IP Week @ SG 2024. (Please click here for more information on the conference.)
2 Guest-of-Honour, Ms Indranee Rajah,
Minister in the Prime Minister’s Office, and Second Minister for Finance and
National Development, announced today that IVAS would be seeking public
feedback on the proposed guidelines for the valuation of Intangible Assets (IA)
in the first half of 2025.
3 The proposed guidelines will be developed by
IVAS in conjunction with several key international Valuation Professional
Organisations (VPOs) – the American Society of Appraisers (ASA), the Canadian
Institute of Chartered Business Valuators (CBV Institute), and the Royal
Institution of Chartered Surveyors (RICS) based in the United Kingdom. Aligned
to the International Valuation Standards (IVS), the proposed guidelines are
aimed at providing valuers with guidance on IA valuation, to enhance
credibility and reliability in valuation reports to support IA transactions.
Updated
International Valuation Standards on Impact of ESG
4 The
updated standards, which will take effect on 31 January 2025, will provide
investors with a consistent approach to obtaining insights on the value of
businesses, enabling them to make informed investment decisions. The standards make
it clear that valuations based on Automated Valuation Models (AVM), including
those employing Artificial Intelligence (AI), are only compliant if a competent
valuer applies professional judgement in the process. This recognises the
growing importance of AI while acknowledging the need for competent
professional opinions.
5 Mrs Lim Hwee
Hua, Chair, Board of Trustees, IVSC said, “In the global economy, accurate and
transparent valuation practices are essential for fostering investor
confidence, facilitating capital allocation, and promoting economic stability.
The International Valuation Standards set a bar for proficiency and
professionalism of the valuation profession. As Chair, I am dedicated to
steering the profession towards excellence, ensuring that valuation
practitioners adhere to the standards, thereby contributing to the stability
and growth of the global economy.”
Enhanced
Professional Courses - Intangibles Disclosure Framework and Chartered Valuer
and Appraiser Programme
6 IVAS, together
with IPOS and the Institute of Singapore Chartered Accountants (ISCA), will be
launching an online professional development course on the Intangibles
Disclosure Framework (IDF) in the fourth quarter of 2024. This course is
targeted at professional accountants and will guide them on how IA can be
comprehensively disclosed to stakeholders. The IDF was launched by Minister
Indranee in September 2023 during IP Week @ SG 2023.
7 IVAS will also
refresh the CVA Programme to incorporate content on ESG reporting standards and
IA, which will be launched in phases starting from the first half of 2025. The
CVA programme, which was jointly developed by IVAS and Nanyang Technological
University in 2016, is the national certification for business valuation in
Singapore and the first business valuation certification programme in Asia to
be benchmarked against international standards.
8 Mr Lie Kok Keong, Council Chairperson,
Institute of Valuers and Appraisers, Singapore, who is also Valuation Leader
and Co-Head, Mergers and Acquisitions, PwC Singapore, said, “Business valuers
play a crucial role in supporting businesses. IVAS is committed to uplifting
the business valuation profession in Singapore and the region, through
continual education, industry collaboration, and the adoption of best
practices. With the refresh of the CVA programme and professional development
courses, IVAS aims to equip our members with knowledge and tools to address ESG
and IA-related issues in valuation. This enables them to deliver insightful
valuations aligned to the international standards.”
9 At the conference,
Mr Lie announced that the VPOs will conduct roundtables with industry
stakeholders in the fourth quarter of 2024, to seek feedback on their joint
publication, titled ‘Guidance to Management/Client Information Request for
Environmental, Social, and Governance Factors in Business Valuations’. This
publication supports valuation professionals when they initiate conversations
with their clients on ESG factors that might impact the valuation of a
business.
2024/08/28