Hedge fund valuation practices are commonly misunderstood, and they are clearly subject to heightened scrutiny by the SEC. See “SEC Commissioner Aguilar Discusses Insider Trading by Hedge Fund Managers, Valuation and Other Examination and Enforcement Pressure Points,” Hedge Fund Law Report, Vol. 6, No. 18 (May 2, 2013). With this in mind, a recent panel discussion hosted by international law firm DLA Piper provided a comprehensive and detailed overview of the valuation deficiencies that have been the subject of recent SEC enforcement actions; outlined valuation best practices for hedge fund managers (including “fair value” valuation methodologies, the use of third-party valuation services and valuation methodologies for illiquid positions); and detailed steps that managers should take to navigate valuation inquiries during SEC examinations. The expert panel included valuation experts, a former SEC examiner and a former government prosecutor. This article focuses on the detailed guidance offered by the experienced panel.