On June 8, ISDA submitted a letter requesting that the Financial Accounting Standards Board (FASB) expands the scope of the fair value option that is provided under Topic 825, Financial Instruments to include physical commodity inventories as well as executory contracts related to physical commodities (eg, storage, transportation, non-derivatives purchase or sale contracts) that are managed on a fair value basis. Given the challenges and significant operational cost that exist with applying fair value hedge accounting to the substantial majority of these positions, having an option to measure certain physical commodity inventories and related executory contracts at fair value would provide a practical and simplified solution.
Documents (1) for ISDA Submits Letter to FASB on Scope of Fair Value Option
Latest
ISDA AGM Studio: Scott O'Malia and Chris Edmonds
Christopher Edmonds, president, fixed income & data services, at Intercontinental Exchange, speaks with Scott O’Malia, ISDA CEO, about how market volatility, regulatory change and technological transformation are reshaping global markets. The discussion explores what recent volatility has meant for participation,...
ISDA AGM Studio: Bill Borden, Microsoft
Bill Borden, corporate vice president, worldwide financial services, at Microsoft, speaks with Mark New, ISDA’s co-head of digital transformation and senior counsel, about how artificial intelligence (AI) is shaping the future of financial markets and the key factors firms should...
ISDA AGM Studio: Heath Tarbert
Heath Tarbert, president of Circle, speaks with ISDA CEO Scott O’Malia about the primary applications of stablecoins in derivatives markets and how key legal considerations – including bankruptcy treatment and settlement finality – are being addressed as digital assets become...
ISDA AGM Studio: Yuval Rooz
Yuval Rooz, co-founder and CEO of Digital Asset, speaks with ISDA CEO Scott O’Malia about the growing momentum behind tokenization, the most compelling use cases for derivatives markets and the remaining hurdles that need to be addressed to enable widespread...