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Based on GIPS guidance, it seems that the error correction policy is only in regards to the performance presentation disclosure. What if there was a performance error on a chart in a presenation book, but the disclosure was correct? Or, what if a performance number was incorrectly imput in a consultant database? Does the error correction process stated in the error correction policy apply?
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If the erroneous information is a part of the compliant presentation – whether it be a disclosure or statistic – then you must apply your error correction policy. Per the Guidance Statement, “This Guidance Statement only addresses errors related to GIPS compliant presentations. This Guidance Statement does not address errors discovered in advertisements prepared following the GIPS Advertising Guidelines.” If the performance error in the presentation book is a part of the compliant presentation, then your error correction policy must be applied. The database issue is a bit trickier and is not specifically addressed – in our opinion, if it’s information that is also part of the compliant presentation, it makes sense to follow your stated error correction procedures which probably means updating the returns and including a disclosure (where possible).
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