Appraisal Assignment: Reference Prices and Supreme People

appraisal assignment: To solve this asymmetric issue, a regulatory joint-document was recently issued by the Supreme People's Court of China, according to Global Times China. With the help of five national self-regulatory organizations SRO the document is a follow-up to the provisions covering the people's court to help determine reference prices for asset disposal. The capacity of appraisers is uneven, and the ability of the courts to select relevant valuation points is limited. The entities came up with the idea of creating forensic valuation pools for appraisal firms from different disciplines by different SROs so that relevant parties could pick one efficiently whenever a forensic appraisal assignment is given, entrusting the power of pools-setting to the professional SROs While some view it as a success for the market that all five of the big SROs in the appraisal industry, namely, China Appraisal Society CAS China Institute of Real Estate Appraisers and Agents CIREA China Real Estate Valuers and Agents Association CREVA Gem & Jewelry Trade Association of China GAC and Chinese Association of Mineral Resources Appraisers CAMRA have their share of the forensic valuation market. However, the joint issuance with regard to the selection process of an appraisal firm's normative document by China's judicial bodies and SROs is significant to the valuation profession and represents a step forward in standardizing valuation practices in China. Some see it as a victory for national judicial authorities that they could engage the top appraisal firms for forensic valuation with this new arrangement. (news.financializer.com). As reported in the news.