Valuation practice in Luxembourg
Valuation practices are evolving – shaped by strong growth in private asset classes, new technology and a focus on controls and governance. The findings show that valuation has moved beyond a periodic NAV exercise. It is now a strategic capability - shaping governance, investor confidence, risk management and board-level decision-making. Three patterns emerge clearly: valuation expertise is growing in Luxembourg; valuation operating models will industrialise and that independence is crucial.
This survey, developed together with Kroll, provides a factual peer benchmark for the industry. It highlights where Luxembourg is already strong - substance, governance and engagement - and where the next phase will focus: stronger data architecture, deeper challenge, scalable processes and greater consistency in judgement-led situations.
Key findings
Scalability challenges
Our survey explored the challenges organisations face in their valuation processes. The findings indicate that the most significant barriers are primarily structural rather than technological. Respondents identified manual data collection and processing, the lack of industry-wide standards, and dependencies on wider group structures as the three most important challenges. Notably, existing software ranked last among the barriers cited - the tools themselves are broadly adequate. The opportunity lies in integration and standardisation, not new technology.
These results highlight that valuation, globally as an industry needs to continue to work on data and standardisation.
Technology adoption
This chart highlights technology adoption across the 65 respondents. Template standardisation has reached near-universal adoption (83%) - the foundation is firmly in place. The next lever is outsourcing valuation or components of the valuation and building better ways to manage data. Importantly, many respondents are indicated that they are in the process of considering and implementing technology, so the pipeline of technology investment across the industry is strong.
Three key trends for the next 12 months
The survey findings point to a market that has made significant progress in strengthening valuation governance, while highlighting that operational maturity has yet to fully catch up.
These are the three shifts to navigate in the next 12 months:
- Valuation expertise in Luxembourg will keep deepening. More of the work - modelling, calculation and controls - will be performed in Luxembourg, with expertise and headcount following. We expect this to continue alongside constructive, growing scrutiny from the regulator, reinforcing Luxembourg's position as the centre of the valuation function.
- Valuation operating models will industrialise. Data, controls and automation become the next focus. Template standardisation is already in place across the industry; database systems, automated testing and application programming interface (API) integrations will move from "considered" to implemented as technology - including LLM -assisted tooling is rolled out at scale.
- Independence is crucial. Independence - delivered through observable prices, independent valuer sign-off, the upstream NAV chain and disciplined expert judgement - remains the foundation of investor confidence. We expect it to be reinforced across every asset class as the market continues to mature.
Overall, the results point to a market that is moving beyond establishing governance structures towards building sustainable operating capabilities. The next phase of development is likely to be characterised by greater local expertise, technology-enabled operating models and an even stronger emphasis on independent, high-quality valuation practices.
About this survey
This benchmark presented above gives conducting officers and fund boards a factual peer reference across fund structures and the major asset classes.
