• Service: Audit, Financial Statement Audit, Financial Reporting & Accounting Standards, Accounting Advisory Services, International Financial Reporting Standards (IFRS)
  • Type: Regulatory update
  • Date: 29/08/2011

IFRS In the Headlines

IFRS In the Headlines
In the Headlines (formerly IFRS Briefing Sheets) provide a timely update on International Financial Reporting Standards (IFRS) developments.

Consolidation exception for qualifying investment entities (2011/28) 

This issue of In the Headlines focuses on the ED Investment Entities which was issued by the IASB on 25 August 2011, with a comment deadline of 5 January 2012. The proposals would amend IFRS 10 Consolidated Financial Statements to require investment entities (as defined) to measure their investments in controlled entities at fair value through profit or loss in accordance with IFRS 9 Financial Instruments, rather than consolidating those investments.


  • Investment entities would measure investments in controlled entities at fair value through profit or loss
  • Exception would not be carried through to a parent that is not itself an investment entity
  • Criteria to qualify would encompass: nature of activities, nature of investors and their interests in the entity, and the entity's management of its investments
  • Additional disclosure requirements would be introduced
  • Changes in status would be accounted for prospectively.
IFRS Briefing Sheets - International financial reporting updates