Fair value measurements

    15 September 2016

    Financial Reporting Developments - Fair value measurement
    We have updated our Financial reporting developments publication on fair value measurement primarily to reflect the issuance of ASU 2015-10, Technical Corrections and Improvements and ASU 2016-01, Financial Instruments – Overall, Recognition and Measurement of Financial Assets and Financial Liabilities. We also enhanced our interpretative guidance. Refer to Appendix F of the publication for a summary of the updates.

    29 February 2016

    Comment letter - FASB proposal on fair value measurement disclosures
    In our comment letter, we support both the FASB’s objective to improve the effectiveness of disclosures and the proposed elimination of certain fair value disclosure requirements, including the relief that would be provided to private companies. However, we highlight the cost of implementing some of the additional requirements the FASB proposed, including the disclosures of the amount of changes in unrealized gains and losses for recurring Level 1 and Level 2 measurements disaggregated by class.

    8 December 2015

    To the Point - FASB proposes changes to fair value measurement disclosures
    The FASB proposed eliminating, modifying and adding certain fair value measurement disclosure requirements as part of its disclosure framework project. Comments are due by 29 February 2016.

    31 October 2014

    To the Point - FASB proposes eliminating certain investments from the fair value hierarchy
    The FASB proposed eliminating the requirement that entities that measure investments using the net asset value (NAV) practical expedient categorize them in the fair value hierarchy table. Under the proposal, certain disclosures about these investments would still be required. Our To the Point publication tells you what you need to know about the proposal.

    10 July 2012

    The new fair value disclosures: A snapshot of how public companies adopted the requirements of ASU 2011-04
    In accordance with ASU 2011-04, public companies were required to provide several new fair value measurement disclosures in their quarterly filings for periods ending 31 March 2012. Ernst & Young reviewed the fair value disclosures provided by 60 public companies across various industries in order to gain insights into how companies adopted the new requirements. The results of our analysis are presented in this publication.

    17 November 2011

    Technical Line - More focus needed on fair value information from third-party pricing sources
    Regulators at the SEC and PCAOB are increasing their focus on the valuation of investments, especially the use of information from third-party pricing sources for securities for which there is no active market. Our Technical Line publication highlights some of the recent regulatory initiatives in this area and tells you what you need to know about your company’s use of third-party pricing sources to support valuations of investments.

    16 June 2011

    Technical Line - Fair value measurement - A closer look at the converged guidance
    The FASB and IASB have issued converged guidance on fair value measurements and disclosures. The new guidance provides companies around the world with a uniform framework for applying the principles of fair value measurement. While many of the amendments clarify the current requirements, certain changes could have significant effects on some companies. Our Technical Line publication, which is written from a US GAAP perspective, takes a closer look and provides our views on the key amendments and clarifications, including the new disclosure requirements.