Editing Net asset value (section)

==Mismarking==

[[Mismarking]] in securities valuation takes place when the value that is assigned to securities does not reflect what the securities are actually worth, due to intentional [[fraudulent]] mispricing.<ref>[https://www.bis.org/bcbs/qisoprisknote.pdf "1QIS 2 - Operational Risk Loss Data – 4 May 2001,"] [[Bank of International Settlements]].</ref><ref name="auto3">{{Cite web|url=https://markets.businessinsider.com/news/stocks/morgan-stanley-fires-places-on-leave-four-traders-mismarking-securities-2019-11-1028727080|title=Morgan Stanley reportedly fires or places on leave at least 4 traders while investigating millions in hidden losses &#124; Markets Insider|author=Daniel Strauss|date=November 29, 2019|website=Business Insider}}</ref><ref name="auto4">{{Cite web|url=https://www.aoinvestigationsinsight.com/amid-falling-markets-valuation-challenges-and-mis-marking-fraud-risks-rise/ |author=Eugene Ingoglia |author2=Todd Fishman |author3=Mark Daniels|title=Amid falling markets, valuation challenges and mis-marking fraud risks rise|work=Investigations Insight|date=April 22, 2020}}</ref> Mismarking misleads investors and fund executives about how much the securities in a securities portfolio managed by a trader are worth (the securities' net asset value) and thus misrepresents performance.<ref name="auto6">{{Cite web|url=https://www.financemagnates.com/executives/moves/morgan-stanley-names-two-new-heads-for-fx-options-desk/|title=Morgan Stanley Names Two New Heads for FX Options Desk; Silverman and Jeurissen are replacing Thiago Melzer, who was fired in November amid allegations of mismarking securities.|date=January 31, 2020|author=Aziz Abdel-Qader|website=Finance Magnates }}</ref><ref name="auto7">{{Cite journal|author=George J. Benston|title=Fair-value accounting: A cautionary tale from Enron|journal=Journal of Accounting and Public Policy |volume=25 |issue=4 |pages=465–484 |date=July–August 2006 |doi=10.1016/j.jaccpubpol.2006.05.003}}</ref><ref>Kent Oz (2009). [https://ir.lawnet.fordham.edu/cgi/viewcontent.cgi?article=1344&context=jcfl "Independent Fund Administrators As A Solution for Hedge Fund Fraud,"] ''Fordham Journal of Corporate & Financial Law''.</ref>  When a [[rogue trader]] engages in mismarking, it allows them to obtain a higher [[Bonus payment|bonus]] from the financial firm for which they work, where their bonus is calculated by the performance of the securities portfolio that they are managing.<ref name="auto6"/><ref name="auto7"/><ref>{{Cite SSRN |last1=Atanasov|first1=Vladimir A.|last2=Merrick|first2=Jr|last3=Schuster|first3=Philipp|date=2019-07-11|title=Mismarking Fraud in Mutual Funds|language=en |ssrn=3395430}}</ref>