Asset reclassification helps Schroders avoid £49.9m loss

Asset reclassification helps Schroders avoid £49.9m loss

IASB's accounting amendment helps investment bank smooth out loss on financial assets

Schroders has taken advantage of a recent IASB fair value amendment to
reclassify some of its assets, avoiding a hit of almost £50m to its quarterly
profits.

The standard setter relaxed the rules to allow companies to define assets as
‘available for sale’ as opposed to ‘held for trading’.

Instead of the £49.9m drop in the value of the assets hitting Schroders’
profit and loss statement, it will now appear on its balance sheet as unrealised
losses.

Share

Subscribe to get your daily business insights

Resources & Whitepapers

Why Professional Services Firms Should Ditch Folders and Embrace Metadata
Professional Services

Why Professional Services Firms Should Ditch Folders and Embrace Metadata

3y

Why Professional Services Firms Should Ditch Folde...

In the past decade, the professional services industry has transformed significantly. Digital disruptions, increased competition, and changing market ...

View resource
2 Vital keys to Remaining Competitive for Professional Services Firms

2 Vital keys to Remaining Competitive for Professional Services Firms

3y

2 Vital keys to Remaining Competitive for Professi...

In recent months, professional services firms are facing more pressure than ever to deliver value to clients. Often, clients look at the firms own inf...

View resource
Turn Accounts Payable into a value-engine
Accounting Firms

Turn Accounts Payable into a value-engine

3y

Turn Accounts Payable into a value-engine

In a world of instant results and automated workloads, the potential for AP to drive insights and transform results is enormous. But, if you’re still ...

View resource
Digital Links: A guide to MTD in 2021
Making Tax Digital

Digital Links: A guide to MTD in 2021

3y

Digital Links: A guide to MTD in 2021

The first phase of Making Tax Digital (MTD) saw the requirement for the digital submission of the VAT Return using compliant software. That’s now behi...

View resource