Amendments to the Fair Value Option (IAS 28)

The IASB met on 8 December 2025 to discuss:

• proposed amendments to the scope of the fair value option in IAS 28 Investments in Associates and Joint Ventures (Agenda Paper 12A); and
• due process steps taken to publish an exposure draft (Agenda Paper 12B).

Potential amendments to the scope of the fair value option (IAS 28) (Agenda Paper 12A)

The IASB tentatively decided to clarify, in paragraphs 18–19 of IAS 28, that ‘similar entities’ include entities that invest in associates and joint ventures as a main business activity.

Eight of 12 IASB members agreed with this decision.

The IASB also tentatively decided:

1. not to explore a permission for entities to revoke the fair value option; and
2. to consult on these proposals through an exposure draft.

All 12 IASB members agreed with this decision.

Due process and permission to begin balloting (Agenda Paper 12B)

The IASB discussed the due process steps and decided to set a 60-day comment period for the exposure draft (subject to approval by the Due Process Oversight Committee).

All 12 IASB members agreed with this decision.

All 12 IASB members confirmed they were satisfied the IASB has complied with the applicable due process requirements and has undertaken sufficient consultation and analysis to begin the process for balloting the exposure draft.

Four IASB members indicated an intention to dissent from the proposals in the exposure draft.