Should the accountants confirmation procedures for a surprise examination of a pooled investment vehicle include confirmation with investors of the pooled investment vehicle?
Yes. The accountant should obtain confirmation from investors of (i) funds and securities held by the pooled investment vehicle as of the date of the examination and (ii) contributions and withdrawals of funds and securities to and from the pooled investment vehicle by the investor since the date of the last examination. The quarterly account statements required to be sent by the qualified custodian[s] (see also Question VI.2) should provide investors with the information necessary to respond to the confirmation.
Related Questions
- If an accounting firm acts as the independent auditor of a pooled investment vehicle, may the accounting firm also act as the independent representative for the investors in the pool?
- How does an investment adviser to a pooled investment vehicle comply with the custody rule if it does not use the "audit provision"?
- May two or more investors qualify for immigration based upon a pooled investment in a single business?
