On June 1, 2026, the International Organization of Securities Commissions (IOSCO) issued its final Recommendations on Valuing Collective Investment Schemes (Report). The Report consolidates, updates and supersedes IOSCO’s 2007 Principles for the Valuation of Hedge Fund Portfolios and 2013 Principles for the Valuation of Collective Investment Schemes (CIS). It does not, however, change the regulatory perimeter of E.U. member jurisdictions. The update was driven by IOSCO’s desire to account for investment funds’ increasing holdings of private and illiquid assets and retail investors’ exposure to such assets, as well as valuation issues it observed during recent periods of market volatility. The Report aims to “facilitate fair and consistent asset valuation across CIS, strengthen governance, oversight, and accountability of the valuation process, promote transparency and disclosure to investors and regulators, and mitigate potential systemic risk arising from inaccurate/inconsistent valuations.” This article parses the Report. See our two-part series on IOSCO’s revised liquidity management guidance: “Revised Liquidity Management Recommendations for Private Funds” (Dec. 4, 2025); and “How Guidance Conflicts With Market Realities” (Dec. 18, 2025).