Target audience
- At banks and other financial institutions mainly employees at following departments: accounting, reporting, risk management, treasury, ALM, back office, middle office, controlling, internal audit, financial analyses of IFRS statements of customers
- At non-financial companies mainly to employees at following departments: accounting, reporting, risk management, controlling, internal audit
- Audit firms
- Supervisors and enforcers in the area of financial institutions accounting
Obsah školenia: Hedge accounting under IFRS
- Reasons for hedge accounting
- Principles of specific types of hedges – fair value, cash flow and net investment hedges
- Hedging instruments and conditions for their eligibility
- Hedging instruments – rules for time value of options, forward elements and currency basis spreads
- Hedged items and conditions for their eligibility
- Hedges of components of hedged items – risk components, cash flow components, nominal amount components
- Hedges of groups of items including net positions hedges
- Hedge effectiveness requirements
- Rebalancing of hedging relationship
- Discontinuation of hedge accounting
- Fair value option for credit risk exposures managed by using credit derivatives
- Transition from IAS 39 to IFRS 9
- Disclosures for hedge accounting including disclosure examples
- Examples for cash flow hedges of forecast transactions
- Comprehensive examples for a fair value hedge of a debt instrument with fixed rate and for a cash flow hedge of a loan with a variable rate
After completing the training the participants will understand
- when the need for hedge accounting arises
- accounting mechanics of hedge accounting
- what types of hedges can be used in particular situations
- restrictions for applying hedge accounting
- how hedges are designated in respect of specific risk components of the hedged items
- how effectiveness of hedges is assessed - requirements for documentation of hedges
- disclosures in the area of hedge accounting based on practical examples
