This site uses cookies to provide you with a more responsive and personalised service. By using this site you agree to our use of cookies. Please read our cookie notice for more information on the cookies we use and how to delete or block them.
The full functionality of our site is not supported on your browser version, or you may have 'compatibility mode' selected. Please turn off compatibility mode, upgrade your browser to at least Internet Explorer 9, or try using another browser such as Google Chrome or Mozilla Firefox.

Additional outreach on the scope exception for "macro fair value hedge accounting"

  • IASB (International Accounting Standards Board) Image

Jan 30, 2013

During discussions at its January meeting, the IASB decided to postpone a decision on the staff question of whether to retain the drafting in the review draft of the hedge accounting section of IFRS 9 regarding what requirements apply if an entity uses the scope exception for "macro fair value hedge accounting."

The staff argued that the review draft published in September 2012 is clear that an entity that uses the scope exception for macro fair value hedge accounting applies all (applicable) hedge accounting requirements in IAS 39 and not only paragraphs 81A, 89A, and AG114–AG132.

During the discussion it became clear, however, that while some Board members believe that the standard is clear, others believe that it should permit entities to extend current practice until the macro hedging project is finalized if the current practice constitutes some sort of macro hedging. The Board finally decided against a general grandfathering of current practice, however, some further limited outreach will be conducted.

The European Financial Reporting Advisory Group (EFRAG) conducted some field-testing of the review draft and has already started an additional consultation on existing macro hedge relationships under IAS 39.

Correction list for hyphenation

These words serve as exceptions. Once entered, they are only hyphenated at the specified hyphenation points. Each word should be on a separate line.