CFA Practice Question

There are 361 practice questions for this study session.

CFA Practice Question

According the Global Investment Performance Standards (GIPS), what time period is required for the presentation of performance?
A. a minimum of two years
B. a minimum of ten years
C. a minimum of five years, or since the inception of the firm or composite if the firm has been in existence for less than five years
Explanation: What time period must be presented?

The GIPS require firms to show GIPS-compliant history for a minimum of five years, or since the inception of the firm or composite if the firm has been in existence for less than five years.

User Contributed Comments 3

User Comment
Goran80 !!!Exception - if firm is in in the busibess les then 5 years!!!
DiscoAfro The question is not clear on whether this is for a company that has recently decided to be GIPS compliant or one that is GIPS compliant for more than 5 years. I would think this distinction is important because when a company recently started it only has a requirement of 5 years. For every following year the requirement increase with one year until the period is at minimum 10 years. In answering this question I would there for say at minimum 10 years. This because answer C implies that the minimum is always 5 years, but this is not the case. Please correct me if necessary.
barbsalz agree, my answer was 10 years because of the extra year required for each year of performance after the min of 5!
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