Can financial instrument accounting be simplified?

Can financial instrument accounting be simplified?

download the survey   Download Can financial instrument accounting be simplified? (107kb)

The International Accounting Standards Board (IASB) recently published a range of proposals to "improve and simplify measurement and hedge accounting" in its discussion paper, Reducing complexity in reporting financial instruments. The paper marks an important first step in plans to replace IAS 39 with a principles-based standard, which may use fair value to account for all types of financial instrument. Many of the suggested solutions are controversial and could have far reaching effects on banks reporting. They also come at a time when the whole validity of fair value accounting is under challenge in light of the credit crisis.

As a follow up to our recent London Banking and Capital Markets seminar (1 July 2008), we have released a publication entitled Can financial instrument accounting be simplified? where we assess the practical implications of the discussion paper and how companies can help shape the developments ahead. Comments on the IASB discussion paper are due in by 19 September 2008 and it is important that as a wide a cross section of the banking industry as possible responds to the discussion paper.

To download a copy of the slides from the 1 July 2008 seminar please click here (238kb).