Raising the bar on valuation governance
10.06.2025 – Articles
Why readiness, not reactivity, is the standard the FCA now expects.
It’s safe to say that the FCA’s recent review into private market valuations has certainly brought renewed focus to the topic of governance in private fund structures.
That interest is being driven by a number of trends – from the scale of capital shifting from public to private markets, to the rise of retail investors, greater use of fund-level leverage, and the growth of semi-liquid and evergreen vehicles. Valuation risk is now more pervasive, even in closed-ended structures.
Although the FCA took pains to note that much of the sector is doing well, consistency was a recurring issue.