Apollo, UniSuper want private market valuation clarity from ASIC
The two investment giants have said that while valuation disclosure is needed, ASIC needs to define the purpose of why the valuation is needed.
Apollo Global Management and UniSuper have accepted there is a need for increased transparency for private asset valuations but are urging the corporate regulator to provide specific guidance around what information it wants market participants to disclose.
Speaking at the Australian Securities and Investments Commission (ASIC) Symposium on public and private markets on Tuesday evening, Apollo partner and head of Asia Pacific Matthew Michelini said the different holding periods for private assets and the varying risk and liquidity profiles of investors made valuing them more complicated.
“You can look for some valuation framework, but then what is the construct? Is it to move it today, or is it to move it over some reasonable period of time?” Michelini said.
“If regulators give some general principles about valuation practices and constructs, and I would imagine that the industry leaders are already there, most other firms would catch up.”
