Volunteers Invited: Working Groups to Review Valuation Standards and STER Template

Alternative Investment Standards: Valuation

In line with our ongoing commitment to respond to evolving industry practices and investor concerns, we are pleased to announce the formation of a new working group focused on the review of the Valuation Standards within the Alternative Investment Standards (Standards).

This working group will examine Valuation Standards [Standards 5 – 8] as part of the first phase of a comprehensive Standards review process taking place throughout 2025.

Key objectives of the review include:

• Addressing the needs of closed-ended vehicles
• Simplifying language to better align with the intended principles-based approach
• Ensuring relevance and efficacy for emerging areas in today’s investment landscape (private market strategies, digital assets)

Explore the Standards and see details of past consultations here.

Toolbox: Standardised Total Expense Ratio (STER) Template - Relaunch of the STER Working Group

We also have relaunched the STER Working Group to address evolving investor expectations around fee transparency and expense reporting.

Originally developed in 2017, the STER template was created to provide a single, standardised expense ratio that allows institutional investors to easily compare and monitor fees and expenses across different funds – in response to MiFID requirements.

Following a review throughout 2024 in line with evolving regulatory expectations on transparency and reporting, the SBAI is seeking to finalise the template within the working group and strike the right balance between transparency and practicality.

The review will focus on improving transparency:

• Fees and remuneration
• Related party pass-through expenses
• Additional sub-categories within operational expenses.