Valuation frequency must be weighed carefully: Frontier

Investment consultancy Frontier Advisors is working with Australian asset owners to hold fund managers accountable for appropriate valuation of unlisted assets.

Frontier said in a media release on Wednesday that embedding a continuous increase in valuation frequency comes at a cost that must be weighed up carefully, because members ultimately wear it.

At a time when funds under management in the superannuation sector are growing strongly, funds are allocating a larger portion of these growing portfolios toward unlisted assets. Prudential regulator APRA has increased its focus on valuation practices.