IFRS update spring 2006 – investors judge

In association with PwC

International standards have already had a measurable impact on
. A survey of 187 fund managers, shown here, shows that a fifth of
those polled have sold shares after receiving IFRS data, while one in 10 have
been persuaded to hold on to stock.

Link: Access IFRS –
PwC’s IFRS resource centre

The first wave of year-end results now coming through, with their significant
additional disclosures, could well have an even greater impact on investment.

  • 22% have been influenced by IFRS to sell a company’s shares
  • 11% report that IFRS has influenced them to hold on to shares
  • 79% say that the change as a result of IFRS is significant
  • 76% say that information presented before the year-end has been clear
  • 76% say that IFRS makes the financial risks companies face clear
  • 52% on investment fund managers admit that IFRS has already influenced a
    specific investment decision
  • 17% say IFRS information has influenced them not to invest
  • 21% report that the impact of IFRS has already influenced them to buy a
    company’s shares
  • 73% say IFRS has had some impact on their perception of a company’s value
  • 66% say the operational risk that companies assume is clear under IFRS

Link: For the latest news and analysis on IFRS, updated
every week, visit Access IFRS –
resource centre

Related reading

Fiona Westwood of Smith and Williamson.