What should a securities valuation disclosure to investors include?

The correct choice emphasizes the importance of transparency in the valuation process when disclosing securities valuation to investors. Investors should be made aware of how the securities are valued, including the methodologies and assumptions used in the valuation process. This promotes trust and helps investors understand the rationale behind the valuation figures provided.

Disclosing the transparency of the valuation process encourages informed decision-making, allowing investors to gauge the reliability and credibility of the valuations they are receiving. A clear explanation of the valuation techniques and criteria used reassures investors that the valuation is not arbitrary and is conducted in a systematic and consistent manner.

In contrast, while a client's investment performance history, advisory fee structure, and research reports for investment alternatives can provide valuable information to investors, they do not specifically address the transparency and methodology behind the valuation of securities itself. Thus, they do not fulfill the essential criteria for a securities valuation disclosure, which necessitates clarity about how the valuations are derived.