Investigations and forensic advisory
Investigations and forensic advisers establish facts, analyse financial and digital evidence, and help organizations respond to suspected misconduct, loss or control failure.
Definition
Investigations & Forensic Advisory is the independent collection, preservation, analysis and presentation of evidence concerning fraud, corruption, misconduct, asset loss, accounting irregularity or other disputed events.
Overview
Assignments may be commissioned by boards, counsel, regulators, insurers or other stakeholders. The work can involve interviews, accounting analysis, electronic data, asset tracing and control review. Scope, independence, privilege, chain of custody and procedural fairness must be defined early because the findings may affect employment, litigation or regulatory outcomes.
Scope of advisory work
Fact investigation
Allegation assessment, interviews, records and event reconstruction.
Forensic analysis
Accounting, transactions, communications, devices and data analytics.
Response and remediation
Loss quantification, reporting, control improvements and stakeholder support.
Typical engagement
- Mandate: establish authority, scope, independence, privilege and protocols.
- Preservation: secure documents, devices, accounts, data and chain of custody.
- Analysis: test hypotheses through records, analytics, interviews and corroboration.
- Reporting: distinguish evidence, inference, limitations and unresolved questions.
- Follow-through: support decisions, recovery, disclosure and control remediation.
Important distinctions
| Category | Primary question | Typical context |
|---|---|---|
| Internal investigation | Examines issues for an organization or its board. | Governance response |
| Forensic accounting | Analyses financial records and economic evidence. | Transactions and loss |
| E-discovery | Identifies and produces electronic information. | Litigation process |
| External audit | Provides assurance on financial statements. | Audit opinion |
Related categories
The Economy rankings
See the latest Investigations & Forensic Advisory ranking and the associated profiles of ranked firms on Advisory Ranking.
Sources and further reading
View sources and editorial notes
- ISO 31000, Risk management — Guidelines.
- Relevant financial, enforcement, data-protection and sector regulators in the applicable jurisdictions.
- Professional standards for investigations, assurance, disputes and crisis management.
Editorial note: This entry explains a professional-advisory category. Requirements and professional responsibilities vary by jurisdiction and mandate.