This webinar is meant to clearly show the reason why IAS39 was rewritten to IFRS 9.
The 2008 global financial crisis exposed two structural weaknesses in IAS 39: an incurred-loss impairment model that recognised credit losses too late, and a rule-based, four-bucket classification system that produced inconsistent results across banks. the G20 leaders asked the IASB to replace IAS 39. The Board delivered IFRS 9 in phases — classification (2009), impairment (2013) and hedge accounting (2013) — culminating in the consolidated 2014 version, effective for annual periods beginning on or after 1 January 2018.
In 2017 the EU removed its temporary carve-out for own-credit-risk presentation, and in the following years the IASB added targeted amendments — including the significant 2024 package. With the learning objectives below, we are certain that by the end of the webinar, delegates will have a clearer understanding of the shift and acquired benefits as a result.
Summary
Learning objectives:
By the end of the presentation, delegates will be able to:
1. Classify
Apply the business-model and SPPI tests to place a financial asset into Amortised Cost, FVOCI or FVPL, and choose the FVOCI election for equity instruments.
2. Compute ECL
Move an instrument through the three-stage model, apply SICR triggers, SICR triggers, and build a PD × LGD × EAD ECL under multiple forward- forward-looking scenarios.
3. Design a hedge
Select fair-value, cash-flow or net-investment hedge; test economic economic relationship, hedge ratio and cost-of-hedging treatment. treatment.
4. Apply 2024 amendments
Assess ESG-linked & non-recourse features under SPPI, and elect the elect the new electronic-payment derecognition option — effective 1 Jan effective 1 Jan 2026.
