GlobeOp Financial Services has successfully completed a Type ll independent examination of its middle, back office and fund administration controls and Transaction Solutions, according to new international standards replacing Statement on Auditing Standards No.70 (SAS 70). The Big Four auditing firm examination included all 10 GlobeOp offices on three continents, and evaluated the design and operating effectiveness of specified GlobeOp controls for the full year from October 1, 2009 to September 30, 2010.
The two new standards replacing SAS 70 are the International Standard on Assurance Engagements (ISAE) 3402 ‘Assurance reports on controls at a service organization’, and the Statement on Standards for Attestation Engagements (SSAE) No.16, ‘Reporting on controls at a service organisation’. With the new standards becoming mandatory for service organisations in 2011, GlobeOp ranks among the few companies adopting the new standards immediately. For the past three years it has successfully completed SAS 70 Type ll examinations.
“Robust process controls underpin our ‘remarkable service’ commitment to our clients and provide due diligence reassurance to investors,” said Vernon Barback, GlobeOp president and COO. “We believe we are among the first administrators successfully examined under the new standards. As a global service provider, we adopted the new international standards as an improvement over country-specific examination and reporting options. The new standards offer clients and investors greater transparency into the accountability we take for our process controls environment and culture.
“The most significant change in the ISAE 3402 and SSAE No.16 standards is the written assertion from our management team attesting to the fair presentation, suitable design and operating effectiveness of controls, supplementing the auditor’s opinion and report,” Barback added. “The new standards draw primarily on the proven and familiar SAS 70 examinations, but the service auditor’s opinion has changed significantly. Clients, their auditors and investors will welcome its more user-friendly language. We will continue our annual re-certification process with the new standards on a rolling 12-month basis.”
D.C.