In the letter accompanying the various reports, the FSB Chair takes stock of the progress over the past five years and outlines the major outstanding issues which demand the attention of Leaders. He makes three main points:

1. FSB members have made major progress correcting the fault lines that caused the global financial crisis.
2. The work is not yet completed and it is crucial that the G20 stay the course.
3. The G20’s response will ultimately dictate the openness of the global system and consequently the strength and sustainability of global growth.

Among the developments that are not yet completed the FSB chairman cites global convergence of accounting standards. Although the reports admit that some joint projects have been completed and some some initial progress has been made in other projects, they point at loan loss impairment and insurance contracts as areas where convergence is threatening to come to a standstill:

• Although IASB and FASB have followed the FSB's recommendations to develop an impairment model that incorporates a broader range of information and recognises credit losses at an earlier stage, the two standard-setters have developed different expected loss models. The FSB stresses that it "is continuing its engagement with the two standard-setters to seek ways to achieve a consensus on a high quality standard in this important area".
• On insurance contracts, the IASB and FASB are working together but have come to different decisions of several basic matters. This has again led to issuing two separate exposure drafts. The FSB urges further convergence but notes: "The obstacles to finding a converged solution for the insurance contracts project are proving difficult to overcome."

The FSB notes that IASB and FASB have been called on by the G20 to complete their convergence projects by the end of 2013. The boards will report to the FSB on the progress made in November 2013.

In connection with the reform of the global financial system, the FSB also reports on the work of the Enhanced Disclosures Task Force (EDTF), which was founded in 2012 and published recommendations for improved disclosures in October 2012 and a first progress report in August 2013.

Also, in November 2012 the FSB was asked to undertake diagnostic work to assess factors affecting long-term investment financing. Among the factors considered was the effect of current and prospective accounting rules on long-term financing. Among the reported results is the statement that "reporting rules can sometimes have a behavioural impact" and that "there is some evidence that this includes short termism". However, some hope is placed on forthcoming accounting standards and the conceptual framework.

Please click for the following information of the G20 website:

• Letter of the FSB Chairman
• Progress report on implementing the G20 recommendations (traffic lights scoreboard)
• Narrative report on progress in implementing the G20 recommendations
• Detailed progress overview (see chapters 7.1 Enhancing and aligning accounting standards and 7.2 Enhancing financial institutions disclosures)
• First analysis of factors affecting long-term investment financing

The CMAC is a group of professional financial analysts who meet three times a year with  members of the IASB to provide the views of professional investors on financial reporting issues.

Please click for more information about the CMAC and the call for members on the IASB's website.

This volume (nicknamed the "Green Book") will include the full text of the Standards and Interpretations and accompanying documents (such as the Basis for Conclusions) issued by the International Accounting Standards Board (IASB) as at 1 July 2013 with extensive cross-references and other annotations. This edition does not contain documents that are being replaced or superseded but remain applicable if a reporting entity chooses not to adopt the newer versions early.

New requirements issued since 1 July 2012 include:

• IFRIC 21 Levies (issued on 20 May 2013)
• amendments to IFRS 10 Consolidated Financial Statements, IFRS 12 Disclosure of Interests in Other Entities, IAS 27 Separate Financial Statements, IAS 36 Impairment of Assets and IAS 39 Financial Instruments: Recognition and Measurementarising from:
  • Investment Entities (Amendments to IFRS 10, IFRS 12 and IAS 27) (issued on 31 October 2012)
  • Recoverable Amount Disclosures for Non-Financial Assets (Amendments to IAS 36) (issued on 29 May 2013)
  • Novation of Derivatives and Continuation of Hedge Accounting (Amendments to IAS 39) (issued on 27 June 2013)
• related consequential amendments.

The Green Book will sell for £90 plus shipping for the two book set (academic, developing country, and volume discounts apply).  A downloadable PDF, and combined published book and downloadable PDF 'bundle',  will also available. You will find more information and ordering details here.

Marian’s role will be to “promote high quality corporate governance and reporting” alongside the Executive Director, Codes and Standards.  

Angus will work alongside the Executive Director, strategy, and his role will be “to develop an enhanced programme between the FRC and the investor community” and to work with the FRC’s Codes and Standards team “to ensure corporate governance and reporting meets investors’ needs”. 

Click here for the press release on the FRC website.

The FCA has reviewed the existing requirements in light of the new Directors’ Remuneration reporting regulations and Narrative Reporting regulations in order to ensure that any duplication is kept to a minimum and that unnecessary requirements are not imposed on listed companies. The proposal is therefore to remove those listing rules relating to directors’ remuneration unless the rule applies to both premium listed UK companies and companies incorporated overseas, as the latter group are not within the scope of the new regulations.

The proposals are intended to apply to premium listed companies incorporated in the UK with years ending on or after 1 January 2014. This means that companies with years ending on or after 30 September 2013 through to 31 December 2013 will still need to comply with the current listing rules requirements in addition to the new disclosure regulations.

Responses to the consultation are requested by 9 October 2013.

 Summary of the proposals

• All of the disclosures relating to remuneration, currently contained in LR 9.8.8 are to be removed. The only exception to this is LR 9.8.8R (9). This rule requires the disclosure of the unexpired term of any directors’ service contract of a director proposed for election or re-election at the forthcoming general meeting. It is proposed to keep this rule, which is applicable to both UK and overseas companies with a premium listing, in order to maintain the current requirements for overseas companies. 
• There are no changes proposed to LR9.8.6R. This rule relates to the disclosure of directors’ share interests at end of the period under review and any changes between this date (LR9.8.6R (1)); share interests disclosed to the listed company in accordance with Disclosure and Transparency Rules 5 (LR 9.8.6R (2)); a statement that the business is a going concern (LR 9.8.6R (3)); details of shareholder authority for purchase of its own shares and the details of such purchases (LR 9.8.6R (4)); a statement of how the company has applied the principles set out in the UK Corporate Governance Code (LR 9.8.6R (5)) and a statement of compliance with the Code, or details of non-compliance (LR 9.8.6R (6)). It should be noted that companies incorporated outside the UK with a premium listing must comply with LR 9.8.6R (5) and (6). 
• There are also no changes proposed to LR 9.4.1R, which deals with the requirement for shareholder approval of employee share plans and long term incentive plans and LR 9.4.2R which allows exemptions for all employee plans and plans put in place for one director to facilitate, in unusual circumstances, the recruitment or retention of the relevant individual. It is however, worth noting that companies may need to ensure that the policy report, which is to be approved by shareholders, explicitly allows for the use of this provision. 
• There is also a minor change to LR 9.8.13R in response to the Narrative Reporting Regulations which changes existing references to ‘summary financial statements’ to ‘strategic report with supplementary information’ which will reflect the new requirement for the production of a strategic report.

The consultation paper can be found here (link to FCA website). 

In July 2013, the International Accounting Standards Board (IASB) published a comprehensive Discussion Paper containing proposals for topical areas where it considers a revision and amendment of the existing Conceptual Framework necessary. In connection with the consultation, the IASB is interested in academic input on all aspects of the project, to help it to develop the revised Framework. It has therefore dedicated its inaugural IASB Research Forum to the topic.

At the same time, the IASB is cooperating with the Accounting and Business Research (ABR) which has issued a call for papers for a special edition of academic papers addressing issues relevant to the development and application of the Conceptual Framework. Authors of selected papers entered into the review process for the special issue will be invited to present their work at the IASB Research Forum, planned to be held at Said Business School, Oxford University, England. IASB members will provide commentary on each paper and the ABR special issue will be published in the latter half of 2015.

Please click for the following information on the IASB website:

• Announcement of the Tommaso Padoa-Schioppa Memorial Lecture and IASB Research Forum
• ABR call for papers

The event was part of EFRAG’s public consultation connecting the European Commission green paper and the limited scope amendments to IFRS 9 Financial Instruments proposed by the IASB that indicate that fair value measurement and long-term horizons are not mutually exclusive.

The part of discussions regarding the question of whether fair value measurement leads to short-termism revealed that the users of financial statements believe that fair value information is important to understand a company's exposure to financial market risks and is a good indication of the liquidity of the market. A user panellist also pointed out that there was no academic evidence that fair value was leading to short-termism.

The panellists from the insurance and banking industry noted they would prefer that fair value did not impact the profit and loss account when the business model is long-term investing. They stressed that volatility due to short-term variations does not provide information on real performance and should be communicated through appropriate disclosures. They also expressed concern regarding the amount of non-GAAP measures companies feel compelled to use to present a long-term investing business model in a way that is understandable to users.

Please click for the following information on the EFRAG website:

• Press release
• Feedback statement

In addition, previous web presentations are also available on the proposals included in the revised exposure draft:

• 31 July 2013 — Web presentation on the proposals for unlocking the contractual service margin
• 19 July 2013 — Web presentation on contracts linked to underlying items proposals
• 15 July 2013 — Discussing the revenue proposals of the revised ED Insurance Contracts
• 25 June 2013 — Introduction to the revised ED Insurance Contracts

All of the web presentation recordings are available on the IASB website. The IASB expects to add additional web presentations over the next few weeks.

Following the introductory web presentations on 26 July 2013, the IASB will host seven more live web presentations on the issues raised in the DP. Each presentation will also feature a question and answer session.

Click for:

• More information about the web presentations on the IASB website
• IAS Plus article on the Conceptual Framework Discussion Paper
• IAS Plus project page on the IASB’s conceptual framework project