All banks which apply these international standards calculate returns using a uniform method: client portfolios with the same investment strategy (e.g. high or low risk) are put into one pot (composite). The returns generated by this pot over a period of at least five years are disclosed and compared with an internal standard. Bank services for a specific investment strategy can be compared on the basis of the GIPS reports. These also reveal whether or not the respective bank has reached its own targets (benchmarks). The reports also disclose the fees for various investment amounts and risk categories.
German: Global Investment Performance Standards (GIPS) (390)
Notice: The contents of this terminology collection Lawpedia® with a focus on business law (especially financial market law) have been researched with great care and compiled on the basis of an extensive flash card, training materials and literature. The various sources (as far as they could be found) can be found in the abbreviations and source references. References to other sources are welcome. Despite the care taken, the provider cannot accept any liability for the accuracy, completeness and topicality of the information provided. The information is of a general nature in particular and does not constitute legal advice in individual cases.