Fair value accounting is set to trigger a series of write-downs of up to
£190bn on Wall Street this week.
US accounting standard FAS 157 is set to prohibit banks such as Citigroup,
Goldman Sachs, Morgan Stanley and others from setting values to sub-prime
mortgages and other forms of debt on the basis of ‘assumptions’, the Daily
Assets must instead be valued at market prices.
Barclays share price dropped 9% at one
point in the run-up to Friday’s trading, causing trading to be suspended. The
bank denied reports that it was preparing to write $10bn in sub-prime
Royal Bank of Scotland credit chief Bob Janjuah said the standard could lead
to a further $100bn for write-downs as banks are forced to come clean, with
total losses climbing as high as $500bn across all forms of distressed credit.
Improvements to cashflow statements are being targeted in a consultation launched by the Financial Reporting Council (FRC)
Dr Richard Willis provides a several thousand-year history lesson of the profession, from origin to modern-day
The Financial Reporting Council has issued guidance regarding the annual reporting of 1,200 large and smaller listed companies. The letter highlighted the key issues and improvements that can be made in the 2016 reporting season
Long-serving PwC director Fiona Westwood has moved to Smith & Williamson and stepped up to partner