Claiming compliance with the GIPS standards requires involvement from multiple divisions of a firm’s organization. Generally, a claim of compliance impacts the performance, compliance, and marketing divisions at a minimum, and potentially other divisions, too. GIPS Committees are a helpful tool to ensure oversight at the firm level. A committee is meant to facilitate clear lines of communication across divisions, and ultimately to serve as a mechanism to ensure that the firm achieves and remains in compliance with the GIPS standards.
Firms often have many questions related to the construction and implementation of a GIPS Committee. Further, because each firm is unique, there is not a standard, universal way to maintain a committee. Firms of varying sizes and structures will require different committee participants and practices.