Under this asset valuation method, the actuarial value of assets (for funding) or solvency value of assets (for Canadian registered mode solvency assets) is determined as the average of adjusted market asset values. The adjusted market asset values are the previous years' asset values projected to the valuation date. 

In Parameters, once you specify the Years in Averaging Period (N), a spreadsheet becomes accessible in which you enter (N-1)  years of Adjusted Market Values at Valuation Date. Year -1 is the asset value from the prior year valuation date adjusted to the current valuation date. When running a Valuation Set, Deterministic Forecast or a Stochastic Forecast the current market value of assets will be included in order to complete the averaging period. 

At the end of each forecast year, ProVal will update the adjusted market values by dropping the oldest value, projecting the remaining adjusted market values one year with cashflow based on the funding valuation interest assumed rate for that year, and appending the projection year current funding market value.