ChatGPT's view on how to become a valuator

I decided to test the capabilities of ChatGPT in terms of collecting relevant data, structuring this data and rendering it. To do so, this I asked him the following question: How can one become a certified valuator ? The results obtained appear following my comments.

When it comes to the chatbot’s ability to collect data, the result is mixed. Above all, the bot has shown to be rather clever. My question was about certified valuators and not about certified financial valuators. And the bot understood. How was ChatGPT able to immediately head in the right direction? The windows on my desktop, and my search histories, may have provided him with a starting point. Some ChatGPT testers share the suspicion that the bot is reading your browser history (https://www.reddit.com/r/ChatGPT/comments/125ymug/is_chatgpt_reading_browser_history_or_cookies/).

Nevertheless, the test showed limited results. For example, ChatGPT has only identified three certification bodies: ASA, IVSC, and RICS. Hence, if you have little knowledge of the subject submitted to ChatGPT, the results will be irrelevant. ChatGPT simply “forgot” to mention National Association of Certified Valuators and Analysts (NACVA) and AICPA , the main certification bodies. To circumvent this failure, it was necessary to lead the bot and to name the organizations in a subsequent question. Then, it was possible to collect data about those. It could look like there is a rule of parsimony, and that this rule does not select the most relevant data, but the first data on which the chatbot stumbles.

When it comes to structuring data, which may include sorting it, I witnessed live self-correction. First of all, the bot was mistaken and named the IVSC among the certifying bodies whereas this one is only a private standard-setter. Next, I asked what education programs are offered by these organizations, ChatGPT responded "IVSC does not require a minimum level of education or experience as part of its certification, since the IVSC is not a certifying body." This makes of self-contradiction a signal of data sorting defect in the use of artificial intelligence bot.

Regarding the restitution, one could expect the output of querry to be structured, that there are transitions, and fluidity in the reading. Well done, these restitution criteria were there, even if the vocabulary used was insipid and the style remarkably flat, the structuring of the data returned was quite logical: to my first question, the bot answered in 6 points, in an order that made sense. On the other hand, ChatGPT was not able to produce comparative tables, and those that you will read below have been recomposed from its truncated paragraphs.

Another expected characteristic of restitution is accuracy. On the subject, the bot remains faulty. Some elements had to be completed by manual research. For example, the two certification levels offered by RICS were not identified and I received only an elusive response, when I asked the bot about the terms of certification and the education and training requirements.?

The following is a restructured text provided by ChatGPT.

Becoming a certified valuator typically involves obtaining a professional valuation designation from a recognized organization. The specific requirements and costs can vary depending on the organization and the country or region in which you plan to work. Here are some general steps and information that may be useful:

1.?????Education and experience:?Most organizations require a minimum level of education and experience in order to become a certified valuator. This typically includes a bachelor's degree in a relevant field, such as finance or accounting, and several years of experience working in valuation or a related area.

2.?????Training:?Many organizations require completion of a specific training program or series of courses in order to become certified. These programs may cover topics such as valuation theory, financial analysis, market analysis, and regulatory requirements.

3.?????Examination:?In order to become certified, you may need to pass one or more examinations. These exams typically cover the knowledge and skills required for valuation, including financial analysis, market analysis, and regulatory compliance.

4.?????Continuing education:?Once you become certified, you will likely need to complete ongoing education and training in order to maintain your certification.

5.?????Costs:?The costs of becoming a certified valuator can vary widely depending on the organization and the country or region in which you plan to work. Some organizations may charge an application fee, as well as fees for training and examination.

6.?????Certifying organizations:?There are several organizations that offer certification for valuations, including the American Society of Appraisers, the Royal Institution of Chartered Surveyors, and the International Valuation Standards Council. The specific requirements and certification process can vary depending on the organization.

In summary, becoming a certified valuator typically involves a combination of education, training,examination, and ongoing professional development. The specific requirements, costs, and certifying organizations can vary depending on your location and career goals.

CERTIFYING ORGANIZATIONS

The American Society of Appraisers (ASA) requires a bachelor's degree or equivalent education in a relevant field, such as business, finance, or accounting. In addition, they require a minimum of five years of full-time, professional experience in the area of appraisal or valuation, with at least two years of this experience being in the area of the intended designation. ASA also offers an Accredited Member (AM) designation for individuals with a bachelor's degree or equivalent and a minimum of three years of professional experience.

The Royal Institution of Chartered Surveyors (RICS) requires a degree or equivalent qualification in a relevant subject area, such as property, economics, or business. They also require a minimum of two years of relevant work experience. In addition, RICS offers a pathway for individuals with a non-cognate degree or those who do not meet the work experience requirement to obtain the RICS qualification through additional education and training.

The International Valuation Standards Council (IVSC) does not have specific education and experience requirements for their certifications, as they do not offer direct certification. Instead, the IVSC sets international valuation standards and provides guidance for professional valuation practices. Valuation professionals can use these standards and guidelines to ensure that their work meets international best practices.

The National Association of Certified Valuators and Analysts (NACVA) ?offers the Certified Valuation Analyst (CVA) designation, which requires a bachelor's degree or equivalent education in a business-related field. In addition, candidates must have a minimum of 1,800 hours of business valuation experience or a combination of experience and education. NACVA also requires candidates to complete a training program and pass an exam to obtain the CVA designation.

American Institute of Certified Public Accountants (AICPA) offers the Accredited in Business Valuation (ABV) designation, which requires a valid CPA license and a minimum of ten business valuation engagements. In addition, candidates must complete 75 hours of valuation-specific continuing professional education (CPE) and pass an exam to obtain the ABV designation.

It's important to note that the education and experience requirements may vary depending on the organization and the intended designation or specialization. It is recommended to review the specific requirements for the desired designation on the organization's website or contact the organization directly for more information.

EDUCATION AND EXPERIENCE REQUIREMENTS

The American Society of Appraisers (ASA)

Education: a bachelor's degree or equivalent education in a relevant field, such as business, finance, or accounting.

Experience: a minimum of five years of full-time, professional experience in the area of appraisal or valuation, with at least two years of this experience being in the area of the intended designation.

The Royal Institution of Chartered Surveyors (RICS)

Education: a degree or equivalent qualification in a relevant subject area, such as property, economics, or business.

Experience: RICS offers a pathway for individuals with a non-cognate degree or those who do not meet the work experience requirement to obtain the RICS qualification through additional education and training.

Associate?is the entry-level RICS qualification?and offers the chance to progress to full chartered status. Associate Member is available on completion of the associate qualification. One of the following item is required before applying for assessment: i)?1 year of relevant experience and a relevant bachelor’s degree, ii)?2 years of relevant experience and a relevant higher/advanced/foundation qualification,, iii) 4 years of relevant experience (no qualifications required).

Chartered?Chartered Member is available on completion of the chartered qualification, you will have to pass a series of assessments. One of the following item is required before applying for assessment: i)?Relevant experience and an RICS-accredited degree, ii)?5 years of relevant experience and any bachelor’s degree, iii)10 years of relevant experience operating at an advanced level by seniority, specialisation, or in academia.

The National Association of Certified Valuators and Analysts (NACVA)

Education: a bachelor's degree or equivalent education in a business-related field.

Experience: candidates must have a minimum of 1,800 hours of business valuation experience or a combination of experience and education.

The American Institute of Certified Public Accountants

Education: a valid CPA license

Experience: a minimum of ten business valuation engagements.

CERTIFICATION DESIGNATION NAME AND TRAINING PATH

The American Society of Appraisers (ASA)

Designation: Accredited Senior Appraiser (ASA)

Accredited Member (AM) for individuals with a bachelor's degree or equivalent and a minimum of three years of professional experience.

Training: Complete the ASA's Principles of Valuation (POV) course or the equivalent. Complete any other required training for the desired designation, such as the Business Valuation and Financial Forensics Conference, and the Advanced Business Valuation Conference.

The Royal Institution of Chartered Surveyors (RICS)

Designation: RICS Valuation – Global Standards (formerly known as the RICS Valuation Professional Standards)

Training: RICS does not offer a specific training program for valuation certification. However, RICS provides a framework for best practices in valuation through their RICS Valuation – Global Standards.

The National Association of Certified Valuators and Analysts (NACVA)

Designation: Certified Valuation Analyst (CVA)

Training: Complete the required training program for the Certified Valuation Analyst (CVA) designation, which consists of the CVA Training and Certification Program.

The American Institute of Certified Public Accountants

Designation: Accredited in Business Valuation (ABV) focused on business valuation for CPAs

Training: Complete 75 hours of valuation-specific continuing professional education (CPE) to fulfill the experience requirements for the Accredited in Business Valuation (ABV) designation.

EXAMINATION

The American Society of Appraisers (ASA)

Accredited Member (AM) and Accredited Senior Appraiser (ASA) designations require the successful completion of the ASA's comprehensive exam and submission of a valuation report for review.

The Certified in Entity and Intangible Valuation (CEIV) designation requires passing the CEIV exam.

The ASA's comprehensive exam covers the principles and theory of appraisal, legal and regulatory issues, and specific valuation methodologies for various industries and types of assets. The exam consists of four sections: Business Valuation, Gems and Jewelry, Machinery and Technical Specialties, and Personal Property.

The CEIV exam covers the principles and methodology of valuing entities and intangible assets, including accounting, finance, and legal considerations.

The Royal Institution of Chartered Surveyors (RICS)

The RICS Valuation - Professional Standards exam is required for RICS membership and the RICS Valuation - Global Standards Professional Assessment exam is required for the RICS Registered Valuer designation.

Professional Standards exam: The exam covers the International Valuation Standards (IVS), Red Book Global Standards, and other relevant guidance and regulations for valuation practice.

RICS Valuation - Global Standards Professional Assessment exam: The exam assesses a candidate's understanding and application of the International Valuation Standards, Red Book Global Standards, and relevant ethical and professional requirements.

The National Association of Certified Valuators and Analysts (NACVA)

The Certified Valuation Analyst (CVA) designation requires passing the CVA exam, which includes multiple-choice questions and a written report.

The CVA exam covers fundamental concepts of valuation theory, methods and approaches to valuation, financial analysis and forecasting, business and industry analysis, report writing, and professional standards and ethics.

The American Institute of Certified Public Accountants

The Accredited in Business Valuation (ABV) designation requires passing the ABV exam, which includes multiple-choice questions and a case study.

The ABV exam covers valuation principles and concepts, financial reporting, risk management, valuation analysis and modeling, and valuation standards and ethics.

COST AND RENEWAL

The American Society of Appraisers (ASA)

Costs: The POV course ranges from $1,295 to $1,495, while the Business Valuation and Financial Forensics Conference and the Advanced Business Valuation Conference range from $695 to $1,495.

Annual membership dues range from $310 to $825 depending on the member type and location.

Renewal: Complete a minimum of 100 hours of continuing education (CE) every five years. Submit the required annual membership dues.

Adhere to the ASA's Code of Ethics and USPAP (Uniform Standards of Professional Appraisal Practice) guidelines.

The Royal Institution of Chartered Surveyors (RICS)

Costs: Annual membership dues range from ￡226 to ￡1,521 depending on the membership type and location.?The equivalent cost in US dollars varies based on the exchange rate.

Renewal: Maintain membership with RICS and adhere to the RICS Valuation – Global Standards. Complete a minimum of 20 hours of continuing professional development (CPD) annually.Submit the required annual membership dues.

The National Association of Certified Valuators and Analysts (NACVA)

The cost of NACVA's CVA Training and Certification Program ranges from $2,195 to $2,695. Annual membership dues for the Certified Valuation Analyst (CVA) designation range from $495 to $795 depending on the member type.

Renewal: Complete a minimum of 24 hours of CE every year, with at least four of those hours being in ethics. Submit the required annual membership dues.

Adhere to the NACVA's Code of Ethics.

The American Institute of Certified Public Accountants

Costs: Annual membership dues for the Accredited in Business Valuation (ABV) designation range from $295 to $455 depending on the member type.

Renewal: Complete a minimum of 60 hours of ABV-related CPE every three years. Submit the required annual membership dues.

Adhere to the AICPA's Code of Professional Conduct.

In summary

To become a certified valuator with the American Society of Appraisers (ASA), Royal Institution of Chartered Surveyors (RICS), National Association of Certified Valuators and Analysts (NACVA), and American Institute of Certified Public Accountants (AICPA), the common requirements are:

1.?????Education: A bachelor's degree in business, finance, accounting, economics, or a related field is typically required. Some organizations may also accept a combination of education and relevant work experience.

2.?????Experience: Depending on the organization, a certain amount of experience in valuation, accounting, or a related field is required. This experience can range from 2-5 years, depending on the certification.

3.?????Examination: Candidates are required to pass a rigorous examination that tests their knowledge and skills in valuation, accounting, and related areas.

4.?????Continuing education: To maintain their certification, valuers must participate in ongoing professional development and continuing education programs.

5.?????Professional references: Candidates must provide references from other professionals in the field who can attest to their skills and experience.

6.?????Ethical standards: All of these organizations require valuers to adhere to high ethical standards and a code of conduct.

It's important to note that the specific requirements and process for obtaining certification can vary depending on the organization.