April

ISSB presence in Montreal announced

06 Apr 2022

While the main seat of the International Sustainability Standards Board (ISSB) will be in Frankfurt, the IFRS Foundation aims for a global footprint by establishing regional hubs in all regions. A memorandum of understanding has now been signed that establishes the Montreal presence of the ISSB.

The Montreal centre will host key functions on behalf of the ISSB, including the coordination of activity across the Americas. The five-year agreement states that Montreal will host significant standard-setting responsibilities and associated functions, including a share of board meetings, leadership and resources.

Please click for more information in the press release on the IFRS Foundation website.

Call for research — Research on making materiality judgements

05 Apr 2022

The IFRS Foundation is seeking to partner with national standard-setters to gather research and information related to the changes and additions to the IASB’s literature on making materiality judgements.

In particular, the IASB is looking to assess the effects on investors, companies, auditors and regulators for the following documents:

For more in­for­ma­tion, see the press release on the IFRS Foundation’s website.

IFRS Foundation publishes its 2021 annual report

04 Apr 2022

The IFRS Foundation has published its annual report and audited financial statements for the year ended 31 December 2021.

The report for 2021 provides an overview of the IFRS Foundation’s activities during the past year and sets out the Foundation’s and IASB’s priorities for 2022. The report also discusses the steps taken to form the new standard-setting board ― the ISSB ― and contains case studies on some of the year’s achievements.

For more information, see the press release and annual report on the IFRS Foundation website.

IFRS Foundation Trustees hold March 2022 meeting

04 Apr 2022

The IFRS Foundation Trustees met on 2–3 March 2022.

Meeting ac­tiv­i­ties included the following:

  • Report of the Chair of the Trustees and the Executive Director — The Trustees received a report from meetings with key stakeholders and ac­tiv­i­ties since the last meeting.
  • IASB Chairman’s report— The Chair of the IASB provided the Trustees with a general update on the IASB’s technical ac­tiv­i­ties, es­pe­cially on the ongoing work in the IASB’s Third Agenda Consultation and the goodwill and impairment project. The IASB Chair also updated the Trustees on steps taken to minimise the affect of operating without a full complement of members.
  • ISSB leadership introduction— The Trustees were provided with an update by Chair Emmanuel Faber, Vice-Chair Sue Lloyd, and Special Advisor Janine Guillot.
  • Update on key organisational risks — The Trustees were provided with an update on management and oversight of risk at the Foundation.
  • Sustainability Consultative Committee and Sustainability Standards Advisory Forum — The Trustees were updated on progress related to the Sustainability Consultative Committee and the establishment of the Sustainability Standards Advisory Forum. The Trustees noted that the ISSB may need to create an interim advisory group from a jurisdiction with that have been developing their own sustainability-related reporting requirements.
  • ISSB and the academic community — The Trustees believe that the ISSB should build a relationship with the academic community and will discuss at a future meeting.
  • Reports from Trustee Committee meeting — The Trustees were provided with an update from the 1–2 March meeting, which included updates from the Audit, Finance and Risk Committee, Business Processes and Technology Committee, Human Capital Committee, Nominating Committee, Due Process Oversight Committee.

The Trustees also held a shareholder event and met with the Monitoring Board.

For more in­for­ma­tion, see the full summary on the IFRS Foun­da­tion website.

IASB issues podcast on latest Board developments (March 2022)

04 Apr 2022

The IASB has released a podcast featuring IASB Chair Andreas Barckow and Executive Technical Director Nili Shah discussing deliberations at the March 2022 IASB meeting.

Highlights of the podcast include discussions on: 

  • the Agenda consultation and Management commentary;
  • stakeholder feedback on the post-implementation review of IFRS 9;
  • Financial instruments with characteristics of equity;
  • primary financial statements;
  • Business combination under common control;
  • the project plan for extractive activities;
  • the IFRS Interpretation Committee’s agenda decision on TLTRO III transactions; and
  • the second comprehensive review of the IFRS for SMEs Accounting Standard.

The podcast can be accessed through the press release on the IASB website.

Please click to view the detailed notes taken by Deloitte observers for the IASB meeting.

ESMA expands Q&A document on the implementation of its APM guidance

04 Apr 2022

In June 2015, the European Securities and Markets Authority (ESMA) published its final Guidelines on Alternative Performance Measures (APMs) for listed issuers that became effective in July 2016. Since then, ESMA has published several questions and answers on the guidelines to promote common supervisory approaches and practices in the implementation of them. Two new questions have now been added to the document on the use of APMs in the context of ESG developments.

The two new questions relate to:

  • Application of the APM Guidelines to measures related to ESG matters
  • Labels used by issuers on ESG financial measures

Please click to access the updated document on the ESMA website.

IPSASB ED on retirement benefit plans

04 Apr 2022

The International Public Sector Accounting Standards Board (IPSASB) has released an exposure draft (ED) intended to increase the transparency and accountability of public sector entities regarding multi-employer retirement benefit obligations.

ED 82 Retirement Benefit Plans builds on IAS 26 Accounting and Reporting by Retirement Benefit Plans. In developing principles for the public sector, the private sector requirements in IAS 26 were adapted, based on experience from around the world, to ensure the unique characteristics of the public sector are reflected in the ED. In particular, the existing policy choices available in IAS 26 were reviewed and the ED proposes to remove those that are not appropriate for the public sector or are inconsistent with existing IPSAS.

Comments on the ED are requested by 1 August 2022. Please click for additional information and access to the ED in the press release on the IPSASB website.

Agenda for the April 2022 IFRS Advisory Council meeting

01 Apr 2022

An agenda has been released for the meeting of the IFRS Advisory Council that will be held in a hybrid format (virtual and at the IFRS Foundation office in London) on 5-6 April 2022.

A summary of the agenda is set out below:

Tuesday 5 April 2022 (12:00-15:30)

  • Welcome and Chair's preview
  • Update on Trustees' activities and IASB activities
  • Update on ISSB exposure drafts
  • Feedback from previous Advisory Council meetings

Wednesday 6 April 2022 (10:00-14:00)

  • Organisational culture (followed by closed session breakouts)
  • Introduction of and update from the Chair of the ISSB (oral session only)
  • Organisational culture (continuation of public session)
  • Chair summary

Agenda papers for the meeting are available on the IFRS Foundation website website.

IOSCO to begin review of draft ISSB standards

01 Apr 2022

In a statement welcoming yesterday's publication of the two draft ISSB standards on general requirements of sustainability reporting and on climate-related disclosures, the International Organization of Securities Commissions (IOSCO) outlines its plans for reviewing the draft standards, with a view to informing its potential endorsement of the final standards.

The statement notes that IOSCO’s endorsement of the final standards once these are issued by the ISSB would be a landmark in sustainable finance as it would support IOSCO members as they consider how to adopt, apply or be informed by the ISSB standards as the baseline for their own sustainable reporting requirements. Next steps IOSCO will take will be reviewing the draft standards and follow subsequent developments at the ISSB so that the potential endorsement of the final standards can follow quickly. The statement points out:

IOSCO has set up the structures needed to review the draft standards proposed by the ISSB and will continue to engage closely and constructively with the standards board throughout its review process. IOSCO is seeking to finalise its endorsement process shortly after the ISSB finalises the standards.

Please click to access the full statement on the IOSCO website.

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