IPEV Valuation Guidelines in Practice: How Technology Supports Scalable, Compliant Fair Value Measurement  

The revised IPEV Valuation Guidelines reinforce a central principle for private capital valuations: Fair Value must be actively determined at each Measurement Date, using appropriate judgment, calibration, and robust governance. As valuation frequency increases and regulatory expectations rise, firms face growing operational and compliance challenges.  

The Guidelines also acknowledge a structural shift underway in the industry. While professional judgment remains essential, technology and AI-enabled tools are increasingly critical in supporting scalable, consistent, and well-governed valuation processes.  

As a leader in valuation technology, 73 Strings provides a clear perspective on how the IPEV Board’s guidance translates into practice.  

1. Valuation Frequency is Non-Negotiable  

The IPEV Guidelines are explicit: Fair Value must be estimated at every Measurement Date, defined as each date on which Fair Value-based NAV is reported to investors. Importantly, prior valuations cannot simply be rolled forward without reassessment.  

While Fair Value may remain unchanged between Measurement Dates, this outcome must be the result of a deliberate valuation exercise, not an assumption.  

IPEV Guidance in Practice  

• Valuations must reflect updated company performance and market conditions  

• The price of a recent investment is not automatically Fair Value  

• Calibration to transaction prices is required by accounting standards  

How 73 Strings Helps  

73 Strings enables firms to perform a full Fair Value exercise at each Measurement Date without incremental operational burden. Automated roll-forwards, market data refreshes, and structured workflows allow valuation teams to scale frequency without sacrificing rigor. This ensures firms remain compliant while avoiding reliance on stale valuations. 

 2. Calibration is an Ongoing Requirement, Not a One-Time Event 

Calibration plays a critical role throughout the investment lifecycle. The Guidelines emphasize that even when a transaction is recent, unobservable inputs must be calibrated and tracked over time. As time passes, firms must assess whether changes in assumptions remain reasonable given evolving facts and circumstances. Calibration is also essential in the absence of new transactions, to explain valuation movements between Measurement Dates. 

IPEV Guidance in Practice  

• Calibration applies even if the transaction date is not recent 

• Subsequent orderly transactions may supersede original calibration points 

• Movements between valuations must be explainable and defensible 

How 73 Strings Helps  

73 Strings systematically calculates, maintains, and tracks unobservable inputs used in calibration across valuation dates. By preserving historical assumptions and enabling side-by-side comparisons, the platform ensures that valuation movements are transparent, defensible, and aligned with IPEV expectations. 

3. Professional Judgment Remains Central: Technology Augments It 

The IPEV Board, aligning with the IVSC Standards Review Board, is clear: Automated Valuation Models and AI are not substitutes for professional judgment or skepticism. However, when used appropriately, technology can significantly enhance valuation quality and efficiency. 

IPEV Guidance in Practice  

• Human judgment is essential to ensure valuations are fit for purpose 

• AI and automation should support, not replace, valuation professionals 

How 73 Strings Helps  

73 Strings is designed to automate operationally intensive and error-prone tasks such as data ingestion, calculations, and documentation while leaving judgment-based decisions firmly in the hands of valuation professionals. This balance allows firms to achieve efficiency without compromising control or accountability. 

4. Increased Valuation Frequency Demands Operational Scale 

The Guidelines acknowledge a growing trend toward vehicles requiring monthly, weekly, or even daily valuations, particularly in private credit and other structured products. In these cases, the principles of Fair Value determination remain unchanged, but the operational challenge intensifies. 

Importantly, the 2025 Guidelines also reinforce that Fair Value should be reassessed not only at scheduled reporting dates but in response to major events that could materially impact value, such that valuation updates may be required on an on-demand basis, rather than only on quarterly or monthly reporting cycles.

IPEV Guidance in Practice  

• The same Fair Value principles apply regardless of valuation frequency 

• Known and knowable information as of the Measurement Date must be used 

• Fair Value should be reassessed at each Measurement Date and, where material events occur that could reasonably affect value, the valuation should be re-evaluated outside of the regular schedule.  

How 73 Strings Helps  

73 Strings supports high-frequency valuation requirements through one-click rollovers, automated market and financial data updates, and efficient version control. Firms can double valuation throughput without doubling headcount, while maintaining consistency and governance across all Measurement Dates. 

5. Documentation, Auditability, and Oversight Are Core Expectations 

Consistent with broader regulatory expectations, the IPEV Guidelines stress the importance of robust documentation and traceability. Firms must be able to demonstrate how valuations were derived, how assumptions evolved, and how judgment was applied. 

IPEV Guidance in Practice  

• Inputs, assumptions, and methodologies must be clearly documented 

• Valuation changes must be explainable and reviewable 

How 73 Strings Helps  

Every valuation decision in 73 Strings is supported by a comprehensive audit trail. Inputs, adjustments, and assumption changes are recorded across the investment lifecycle, enabling efficient audits, backtesting, and internal or external review with minimal manual effort. 

Conclusion 

The revised IPEV Valuation Guidelines reaffirm that Fair Value is a continuous, judgment-driven process, not a static outcome. As valuation frequency increases and scrutiny intensifies, firms must move beyond manual, spreadsheet-based workflows that cannot scale or provide sufficient governance. 

73 Strings directly supports the intent of the IPEV Guidelines by combining automation, transparency, and control, allowing valuation professionals to focus on judgment while technology ensures consistency, calibration, and compliance. In doing so, firms can meet regulatory expectations efficiently while delivering greater confidence to investors and stakeholders.