University of Virginia Library

ATTACHMENT A

UNIVERSITY OF VIRGINIA INVESTMENT MANAGEMENT COMPANY
VALUATION POLICY

Publicly Traded Securities
1.1. Exchange listed securities
• 1.1.1. Value using last reported sale price of security as of valuation date.
Over the counter securities
• 1.2.1. Value using the mean of the bid and asked of security as of valuation date.
• 1.3. Publicly registered investment company shares / open ended mutual fund shares
Value using published net asset value as of valuation date.
• 1.4. Independent third party source will be used. Will obtain third party pricing source through Custodian.

2. Private Placement Securities
Includes domestic and foreign limited partnerships, corporations and other fund structures not publicly registered.
General procedures
2.2.1. Value using Best Available valuation Data received, adjusting for subsequent cash flows and any measurable portfolio gains or losses occurring through the valuation date.
• 2.2.1.1. Best Available Data relates to the latest available manager financial statements at the time valuations are being determined.
• 2.2.1.2. Cash flow adjustments are determined from subsequent additional investment or fund distributions.
2.2.1.3. Capital gain or loss adjustment will be considered when amounts are material and estimable through available published information.
• 2.2.1.3.1 When holdings are duplicated among managers, the more conservative manager's valuation will be used.
• 2.2.1.3.2. Additional loss reserves may be considered based upon general market conditions and UVIMCO Board committee action.

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2.3. Additional procedures
2.3.1. Real estate investment funds Convert manager financial statement information from book value to fair market, when applicable.
• 2.3.1.1.1. Manager provided appraisal information to be used.
• Reduce valued interest for any un-amortized intangible assets. Reduce valued interest by 1.5% of the fair market value of fund real estate investments as estimated liquidation costs. Reduce valued interest by 25% of any unrealized capital gains after considering the adjustments listed above.
2.3.2. Private equity investment funds
Adjust manager financial statement information for publicly traded portfolio equity securities.
• Value undistributed publicly traded equity securities at 75% of the value determined through applying valuation policy in section 1, above.
• Value subsequently distributed publicly traded equity securities at amount due from liquidating broker or 75% of the value determined through applying valuation policy in section 1, above, whichever applies.