IFRS 9: Aligning Hedge Accounting with Risk

December 11, 2012
December 11, 2012

In September this year, the IASB issued the Review Draft for Hedge Accounting; phase three of the replacement project for IAS 39 (under the banner of IFRS 9). Although this is not the final draft of the standard, the IASB do not expect any changes between now and the final standard to be issued in December 2012, bar any fatal flaws identified over the next 90 days. The standard becomes mandatory in 2015 with early adoption permitted. What do these changes mean for Canadian organizations? All companies that engage in risk management activities, regardless of whether they use hedge accounting today, will be potentially affected by these guidelines. As many of the changes remove restrictions, it is now more important than ever for treasurers to revisit their risk management strategies.

Join industry experts, Dilshad Hassen, Partner, Advisory Services at KPMG and Jean-Michel Parizeau, Senior Manager at Deloitte as they discuss the new drivers and new needs affecting Canadian organizations. Moderated by Priya Kurian, Solutions Consultant at Reval, agenda topics to be covered include:

  • Introduction and overview of IFRS 9 Operational impacts
  • Identification and quantification of risk, including commodity and FX risk
  • Framework for developing an effective risk management strategy Technical implications
  • Eligibility for hedge accounting
  • New hedge effectiveness testing requirements
  • Accounting for qualifying hedges—Hedging instruments and hedged items
  • Reporting and disclosure requirements