CFAs in Europe vote against suspension of fair value standards
03 Oct 2008
In an overnight poll of CFA Institute members based in the European Union (EU), 79% of the 597 respondents do not support the suspension of fair value measurements for financial instruments under IFRSs.
85% also think that a suspension of fair value standards would further decrease confidence in the European banking system. The CFA Institute polled its EU based members in advance of the summit called by EU and French President Sarkozy to establish a common European position on regulation. Following the poll, the CFA Institute submitted a letter to President Sarkozy, who is seeking more flexibility in accounting rules. The letter affirms that any weakening of accounting rules will not improve market stability and will further undermine investor confidence. Click for CFA Institute Press Release (PDF 21k), which also includes a copy of the letter to President Sarkozy. Previously, the CFA Institute joint the Center for Audit Quality and the Council of Institutional Investors in issuing a Joint Statement (PDF 19k) "opposing suspension of mark-to-market accounting".
