In a joint submission, CA ANZ and CPA Australia advise the classification and measurement requirements of IFRS 9 Financial Instruments are providing useful information, in most instances. However, we state the need for more comprehensive application guidance underpinned by principles, and to assist developing sectors and emerging trends; for example, the emergence of cryptocurrencies.
We also recommend that the IASB takes on a more holistic approach with the subsequent post-implementation review to include revisiting measurement and related standards such as IFRS 7 Financial Instruments: Disclosures and IAS 32 Financial Instruments: Presentation. We also encourage the IASB to consider the impact of concurrent consultations which may have an impact on the post-implementation review.
We support more standard setting work on the presentation of fair value changes in investments in equity instruments in Other Comprehensive Income (OCI). Research on OCI has advised that there is limited understanding on this information. As a result, the information is not always given adequate focus which may reduce the usefulness of financial information especially in times of financial stress and volatility.
IASB Post-implementation Review IFRS 9 classification and measurement
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