IASB Vice-Chair discusses IFRS 9
23 Apr, 2018
IASB Vice-Chair Sue Lloyd has issued a paper which recaps the requirements in IFRS 9 for equity investments and the effects on long-term investment.
In her paper, she discusses the following:
- IFRS 9 on long-term investment.
- Reporting value changes in profit or loss gives better information about value creation over time.
- Recycling can provide a confusing presentation of performance.
- Debt investments are different.
- Prohibiting recycling avoids complexity related to impairment.
- Developing a new impairment model for equity investments is not an easy task.
- Prevalence of available for sale equity investments applying IAS 39.
Ms Lloyd’s paper is available on the IASB’s website.
