Tip:
Highlight text to annotate it
X
KPMG welcomes the International Accounting Standards Board's draft of its forthcoming
IFRS on general hedge accounting that was issued recently. The proposals also remove
the rigid 'bright line' for assessing hedge effectiveness, which will allow for a more
flexible principles-based approach to hedge accounting.
Some industries, such as banking and insurance, may believe that these proposals will not
significantly change the 'status quo' from their perspective, as they keenly await the
IASB's macro hedging discussion paper later this year. However, other industries may be
keen to seize the opportunity to further align their hedge accounting with how they actually
manage risk.
For the complete article, please go to Big4.com