This course is focused on derivatives and hedge accounting in IFRS 9 Financial Instruments. The course provides an overview of classification and measurement of financial assets and financial liabilities, including fair value principles and an in-depth analysis of derivatives accounting and the application of hedge accounting in IFRS 9.
Course ID: IFRS9DDHA
IFRS 9 Demystifying Derivatives and Hedge Accounting
Learning Objectives
After completing this course, participants will be able to:
- Apply the principles for classification and measurement of financial assets and financial liabilities, including derivatives in IFRS 9
- Analyze and evaluate the fair value measurement principles in IFRS 13
- Apply the principles-based approach to hedge accounting in IFRS 9 and analyze its impact on the financial statements
- Analyze the presentation and disclosure of financial instruments (including derivatives and hedge accounting) in the financial statements
Major Topics
- IFRS 9 classification and measurement of financial assets and financial liabilities
- Definition of fair value, establishing fair value and impact of fair value accounting for derivatives (e.g., swaps, forwards, futures, options) on the financial statements
- Different types of hedges to manage fair value/cash flow risks and accounting implications in IFRS 9
- Application of hedge accounting: Documentation, designation of hedged items and hedging instruments, hedge effectiveness, rebalancing a hedge and discontinuation of hedge accounting
- Quantitative and qualitative disclosures in IFRS 7 Financial Instruments: Disclosures
- Update on risk mitigation accounting exposure draft
Advanced Preparations
None
Who Should Attend
This course is primarily designed for those who use derivatives and hedge accounting under IFRS in their company or are considering doing so in the future.
- Accountants in an investment bank or treasury operation/internal audit in a bank
- Individuals working in corporates (non-banking entities) where they are considering hedge accounting for the first time
- Industry controllers, internal and external auditors, analysts and other finance and risk professionals who are interested in learning about derivatives and hedge accounting
Fields of Study
AccountingPrerequisites
A basic understanding of financial statements under IFRS or any other GAAP is required. No advance preparation is required for this course.