February 2018

Insurance contracts transition resource group - meeting summary, podcast, IFRS in Focus

Feb 13, 2018

On February 13, 2018, the International Accounting Standards Board (IASB) released a summary and a podcast of the Transition Resource Group (TRG) for Insurance Contracts' first technical meeting held on February 6, 2018.

The complete set of information around the TRG meeting is now available:

Review the press release on the IASB's website.

March 2018 CMAC meeting—agenda paper principles of disclosure

Feb 23, 2018

On February 23, 2018, the International Accounting Standards Board (the Board) released an agenda paper on the principles of disclosure that was presented at its March 2, 2018 meeting.

The paper includes the following:

Listen to meeting on the Board's website.

March 2018 CMAC meeting—agenda paper goodwill and impairment

Feb 23, 2018

On February 23, 2018, the International Accounting Standards Board (the Board) released an agenda paper on goodwill and impairment that was presented at its March 2, 2018 meeting.

The paper includes the following:

Listen to meeting on the Board's website.

March 2018 CMAC meeting—agenda papers primary financial statements

Feb 23, 2018

On February 23, 2018, the International Accounting Standards Board (the Board) released two agenda papers on primary financial statements that was presented at its March 2, 2018 meeting.

Paper on the new revenue recognition requirements from the investors' view

Feb 27, 2018

In February 2018, the CFA Institute, a global association of investment professionals, published "Revenue Recognition: Top Ten Questions Investors Should Be Asking Regarding the Adoption of the New Standard".

Effective January 1, 2018, revenue for all companies following IFRSs and US GAAP will be recognized under a new accounting standard – IFRS 15, Revenue from Contracts with Customers or the FASB's equivalent revenue standard, ASU 2014-09 Revenue from Contracts with Customers (Topic 606).

Much of the discussion so far has centered around it should be applied by preparers, not on how it should be analysed by analysts and investors. The paper now published by the CFA Institute examines the top 10 questions investors should consider as they review year-end 2017 results and consider first quarter 2018 reporting as it relates to the adoption of the new standard.

Review the full paper on the CFA Institute's website.

Report from the December 2017 Emerging Economies Group meeting

Feb 26, 2018

On February 26, 2018, the International Accounting Standards Board (the Board) published the full report of the 14th meeting of the Board's Emerging Economies Group (EEG), which was held in Sao Paulo, Brazil on December 4–6, 2017.

Par­tic­i­pants at the meeting, which was chaired by IASB® member Amaro Gomes, discussed business combinations under common control, accounting for micro entities, IAS 12, Income Taxes, initial measurement of payables when payment is deferred, IASB update, and an introduction to IFRS 17, Insurance Contracts.

Review the full report (five pages) on the the Board's website.

SEC commissioner calls for curb on dual-class ‘forever’ shares

Feb 15, 2018

On February 15, 2018, the Securities and Exchange Commission (SEC) released a speech by SEC Commissioner Robert Jackson Jr. where he discussed how the U.S. exchanges should consider barring companies that offer lifetime dual-class shares or requiring them to include sunset provisions.

Mr. Jackson and his SEC staff looked at 157 dual-class initial public offerings occurring over the past 15 years, and "immediately noticed some pretty significant differences" between the 71 companies with sunset provisions and the 86 without, and found that over time their predicted valuations diverged.

Seven or more years after their IPOs, firms without sunset provisions traded at a significant discount, and decisions by some firms to drop their dual-class structures later were associated with a significant increase in valuations, he said, noting that the analysis is preliminary but a subject "that deserves much further study."

Review the full speech on the SEC's website.

SEC issues interpretive guidance on cybersecurity

Feb 21, 2018

On February 21, 2018, the Securities and Exchange Commission (SEC) issued interpretive guidance to promote clearer and more robust disclosures by public companies in relation to their cybersecurity risks and incidents, as a result of the increasing number and severity of cybersecurity incidents.

Previous guidance in this area stated that companies may be obligated to disclose cybersecurity risks and incidents, but it did not provide specific disclosure requirements. The new guidance clarifies that the SEC expects companies to disclose cybersecurity risks and incidents that are material to investors, including financial, legal, or reputational consequences.

Review the press release and interpretation on the SEC’s website.

Summary of the December 2017 ASAF meeting now available

Feb 08, 2018

On February 8, 2018, the staff of the International Accounting Standards Board (IASB) made available a summary of the discussions of the Accounting Standards Advisory Forum (ASAF) meeting held in London on December 7 and 8, 2017.

The topics covered during the meeting included:

  • Primary financial statements
  • Disclosure initiative — Definition of material
  • Disclosure initiative — Principles of disclosure
  • Post-implementation Review of IFRS 13
  • Wider Corporate Reporting
  • Academic liaison
  • Information deficiencies and consolidated financial statements
  • Proposed improvements to IFRS 8
  • Business Combinations Under Common Control
  • Project updates and agenda planning

Review the press release and the summary of the meeting on the IASB's website.

Updated IASB work plan — Analysis

Feb 23, 2018

On February 23, 2018, the International Accounting Standards Board (the Board) updated its work plan following its February 2018 meeting.

Below is an analysis of all changes made to the work plan since our last analysis on January 27, 2018.

Maintenance projects

Research projects

  • Principles of disclosure — Discussions on feedback of the discussion paper occurred at the IASB’s February 2018 meeting; the next milestone is now “decide project direction” in March 2018.

Other projects

The revised IASB work plan is available on the Board's website.

Webinar on the scope of the Business Combinations under Common Control project - recording available

Feb 07, 2018

On February 7, 2018, the International Accounting Standards Board (IASB) released a recording of the January 31, 2018 webinar it hosted on the scope of its Business Combinations under Common Control project.

In December 2017, the IASB concluded its discussions of the scope of the project and the webinar discussed the Board’s decisions and gives illustrative examples of transactions within the scope. The recording of the webinar lasts approximately 35 minutes.

Access the recording on the IASB's website.

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