US INVESTORS expect the country will eventually adopt IFRS, but this will take time and require substantial investment in staff and training, ACCA has said.
According to research surveying nearly 500 US-based investors, many expect the SEC will one day require reporting under IFRS.
More investors agreed than disagreed that the long-term benefits of adoption would outweigh the costs, the report found.
"US adoption of IFRS would give a tremendous boost to the cause of globally comparable financial reporting, and more importantly, the US and world economies," said Sue Almond, technical director at ACCA.
Among the main challenges identified, investors believed it will take four and a half years for most companies to be ready for IFRS, and that awareness of IFRS among US-based investors is modest.
Hans Hoogervorst, chairman of the IASB, said: "The ACCA's findings are consistent with anecdotal feedback we hear from the US investor community. They also lend further credence to the argument that the US is well prepared for a successful transition to IFRS."
Almond added: "While there are clearly challenges and reservations, attitudes to IFRS appear to be changing in the US, irrespective of any action by the SEC."
You may also like
If budgeting is to have any value at all, it needs a radical overhaul. In today's dynamic marketplace, budgeting can no longer serve as a company's only management system; it must integrate with and support dedicated strategy management systems, process improvement systems, and the like. In this paper, Professor Peter Horvath and Dr Ralf Sauter present what's wrong with the current approach to budgeting and how to fix it.
In this white paper CCH provide checklists to help accountants and finance professionals both in practice and in business examine these issues and make plans. Also includes a case study of a large commercial organisation working through the first year of mandatory iXBRL filing.