Specific considerations for subsidiaries and the portfolio approach

We discuss the consideration to the incremental borrowing rate for a subsidiary and the application of the portfolio approach under IFRS 16. This set of five EY IFRS podcasts on the determination of discount rates by lessees, when applying the new leases standard of IFRS 16 Leases is presented by Victor Chan and Luci Wright from EY’s Global IFRS team.

Related topics

When a lessee applies IFRS 16, it must determine the discount rate to apply to the lease payments. In this episode, we discuss the considerations in determining the incremental borrowing rate for a subsidiary. We will also discuss the application of the portfolio approach under IFRS 16.

Learning outcomes 

  • Factors to consider when determining the incremental borrowing rate for a subsidiary.
  • What to consider if applying a portfolio approach under IFRS 16.

For your convenience, full text transcript of this podcast is also available.


Presenters


ALT goes here
Luci Wright

Executive Director, Global IFRS

ALT goes here
Victor Chan

International Director in Global IFRS

Podcast

Episode 03

Duration

4m 28s