New appraisal firm for banks, capital markets formed

Former Finance secretary Roberto F. de Ocampo embarked on yet another undertaking by forming the appraisal services offices called Asset Advisors Inc.

"We have developed a new concept in appraisal services that is relevant to the present needs of our banking system and our capital markets, and at the same time, sensitive as well to current national imperatives,"De Ocampo said, who is presently the president of the Asian Institute of Management (AIM).

The new concept was developed in partnership with Ramon C. Cuervo, the previous chief executive officer of Cuervo Appraisers Inc., who sits as one of the directors of Asset Advisors.

"Through credible, independent and highly professional valuation services, Asset Advisors seeks to address an important need that is closely linked to the capital market and banking reform agenda we have initiated during the Ramos administration, and that is, the need to move idle resources," he said.

De Ocampo likewise pointed out the pressing need of the banking system for credible appraisal expertise consistent with contemporary international best practices.

The Philippine banking system has more than P600-billion worth of non-performing assets (NPAs).

Through business process outsourcing of asset/business appraisal services, asset administration, plan equipment value preservation and related services, banks can reduce costs, focus on their core business, and become more efficient and productive.

Financial institutions utilize independent valuation or appraisal services in developing, managing or identifying the value of their properties and assets for purposes of disposal/sale, redeployment, maintenance or development.

The function is viewed as especially critical for depreciable repossessed assets that invariably lose value through wear and tear, obsolescence or simple idleness.

Asset Advisors will likewise serve the need of construction firms in identifying and eliminating financial losses, process inefficiencies and project control issues.

Through property and facilities management services, the company can help real estate developers, property managers and contractors to maintain quality standards and operational efficiency in their projects.

International investors and businesses coming into the country to buy out existing companies, as well as multilateral institutions like the Asian Development Bank (ADB) and the World Bank also demand objective and reputable appraisers who are known for their integrity and world-class standards.

"Our domestic capital market can surely benefit from the increased trust and confidence of foreign investors in our appraisal system," De Ocampo said in a press statement.