Fair Value Measurement
Project milestones
|
This project was completed on 12 May 2011 when the IASB issued IFRS 13 Fair Value Measurement.
IFRS 13, which is effective from 1 January 2013, defines fair value, sets out in a single IFRS a framework for measuring fair value and requires disclosures about fair value measurements. IFRS 13 does not determine when an asset, a liability or an entity's own equity instrument is measured at fair value. Rather, the measurement and disclosure requirements of IFRS 13 apply when another IFRS requires or permits the item to be measured at fair value (with limited exceptions).
The fair value measurement project was part of the Memorandum of Understanding between the IASB and the US national standard-setter, the Financial Accounting Standards Board (FASB). Our joint work resulted in IFRSs and US generally accepted accounting principles (GAAP) having the same definition and meaning of fair value and the same disclosure requirements about fair value measurements.
Read more
Before IFRS 13 was issued, the requirements for measuring fair value and for disclosing information about fair values were dispersed across many standards and in many cases those standards did not articulate a clear measurement or disclosure objective. The Board developed IFRS 13:
- to reduce complexity and improve consistency in the application of fair value measurement principles by having a single set of requirements for all fair value measurements;
- to communicate the measurement objective more clearly by clarifying the definition of fair value;
- to improve transparency by enhancing disclosures about fair value measurements; and
- to increase the convergence of IFRSs and US GAAP.
IFRS 13 is to be applied prospectively and, although its application is only mandatory from 1 January 2013, entities may choose to apply IFRS 13 earlier.
|
Project news
May 2011 Recordings of a webcast introducing IFRS 13 Fair Value Measurement available, morning session and afternoon session.
12 May 2011 IFRS 13 Fair Value Measurement issued - click here for more information.
15 March 2011 The IASB and FASB have completed their discussions about fair value measurement. The IASB expects to issue an IFRS on fair value measurement in April 2011.
Click here to see all previous project news on this project.
|
Latest IASB meeting update
28 March 2013
The IASB discussed the unit of account for investments in subsidiaries, joint ventures and associates.
Read the full meeting update and all previous updates and observer notes for this project.
Click here to listen to the IASB meeting audio playback.
|
Next discussion by the IASB
Discussions of this project have finished. This project is now complete.
|
Page last updated: 21 November 20