At its meeting on February 25, 2020, the IASB met to discuss the feedback on its Exposure Draft relating to:

1. contractual service margin attributable to investment services;
2. level of aggregation—annual cohorts for insurance contracts with intergenerational sharing of risks between policyholders;
3. applicability of the risk mitigation option—non-derivative financial instruments at fair value through profit or loss;
4. minor amendments;
5. additional specific transition modifications and reliefs; and
6. other topics raised by respondents to the Exposure Draft.

The Board made tentative decisions in respect of each of these items. The Board will redeliberate the remaining two topics (a) the effective date of IFRS 17 and (b) the extension of the IFRS 9 temporary exemption in IFRS 4 at its March 2020 meeting. At the same meeting, the Board will be asked to give permission to start the balloting process for finalizing the amendments to IFRS 17.

Review the IASB Update and podcast on the Board's Web site.

At its meeting on February 26, 2020, the IASB met to discuss issues related to the reform of interest rate benchmarks in Phase II, namely:

1. a sweep issue relating to a tentative decision the Board made at its October 2019 meeting on what constitutes a modification of a financial instrument;
2. when the exception provided in Phase 1 relating to the requirement in IFRS 9 and IAS 39 for a non-contractually specified risk component to be separately identifiable, should cease to apply. The Board also discussed whether to provide an exception from the requirement in Phase 2;
3. whether the proposed amendments should be applied voluntarily or mandatorily and when the proposed amendments should cease to apply;
4. the proposed effective date and transition requirements for the Board’s tentative decisions in Phase 2; and
5. the applicable due process requirements including the proposed comment period and the Board’s permission to begin the process for balloting an exposure draft for Phase 2 of the project.

The Board made tentative decisions in respect of each of these items, including that entities should apply the proposed amendments for annual periods beginning on or after January 1, 2021, with earlier application permitted and that the proposed amendments in Phase 2 should apply retrospectively. The Board plans to issue an Exposure Draft in April 2020.

Review the IASB Update and podcast on the Board's Web site.

At its meeting on February 26, 2020, the IASB met to continue its discussions on the specific disclosure objective for the drivers of change in fair value measurements to be included in IFRS 13. The Board tentatively decided to revise three preliminary decisions made in September and November 2019 relating to the specific disclosure objective about the drivers of change in fair value measurements. The Board tentatively decided that:

1. an entity would be required to meet a specific objective to disclose information that will enable users to understand the significant drivers of change in fair value measurements over a reporting period;
2. to meet the objective in (i), an entity would be required to disclose a reconciliation from the opening to the closing balances of recurring fair value measurements classified in Level 3 of the fair value hierarchy; and
3. any explanation of significant drivers of change in fair value measurements—other than those classified in Level 3 of the fair value hierarchy—would be identified as an example of information that an entity may, but is not required to, disclose to meet the objective in (i).

The Board will discuss due process steps for an Exposure Draft of its proposals at a future meeting.

Review the IASB Update and podcast on the Board's Web site.

At its meeting on February 26, 2020, the IASB met to discuss the comments received on its Exposure Draft. The Board was not asked to make decisions. The Board will redeliberate the proposals set out in its Exposure Draft at a future meeting.

Review the IASB Update and podcast on the Board's Web site.

At its meeting on February 26, 2020, the IASB was updated about work on the proposed amendments to IFRIC 14. The Board also discussed the project’s next steps. The Board decided not to finalize the proposed amendments to IFRIC 14. The Board will consider the project’s direction at a future meeting.

Review the IASB Update and podcast on the Board's Web site.

At its meeting on February 27, 2020, the IASB met to discuss its research project on Business Combinations under Common Control, including with respect to disclosure and due process. With respect to disclosure, the Board:

1. tentatively decided that when the acquisition method is used to account for the combination, a receiving entity would apply all disclosure requirements in IFRS 3 and all preliminary views on disclosure to be published in the forthcoming Discussion Paper in the project on Goodwill and Impairment;
2. tentatively decided that it should provide guidance on applying the disclosure requirements of IFRS 3 and IAS 24 for a business combination under common control; and
3. tentatively decided on the disclosures that should be made when the predecessor approach is used to account for the combination.

These tentative decisions complete the Board’s discussion about reporting business combinations under common control. The IASB staff will prepare a Discussion Paper for balloting and will ask the Board to set the comment period for the Discussion Paper at a future meeting.

Review the IASB Update and podcast on the Board's Web site.