This webinar will focus on wider accounting and financial reporting considerations under IFRS9 as a result of COVID-19. This is the second webinar brought to you by ICAEW Financial Services on this issue.
The PRA’s Dear CEO Letter, issued on Friday 26 March, provided guidance for financial institutions on consistent and robust IFRS 9 accounting across the assessment of significant increases in credit risk and estimating expected credit losses (‘ECL’) due to COVID-19. The IASB has also issued a document regarding the application of IFRS 9 during this period of enhanced economic uncertainty as have the EBA, ECB and ESMA.
The application of IFRS 9 during COVID-19 continues to be an area of increased focus. The webinar, led by Mark Spencer, Director and Accounting Advisory Services’ Leader from BDO, will cover the following areas and provide the latest thinking on these topics as at the end of June 2020:
- Application of IFRS 9 during periods of enhanced economic uncertainty (e.g. how probability of default (‘PD’) and the loss given default (‘LGD’) may be impacted)
- Treatment of payment holidays and similar schemes
- Treatment of borrowers who breach covenants due to COVID-19
- Regulatory capital treatment of IFRS 9
Mark Spencer is BDO UK’s Financial Services Accounting Advisory Leader and has been so since this team’s inception. He leads this BDO offering to clients across accounting change (IFRS 9, 16 and 17 and first-time adoption), accounting for group reorganisations and structuring of transactions, financial instruments, climate and corporate reporting and all other aspects of accounting. Mark has over 14 years’ experience of providing advisory and assurance services to credit institutions, non-bank lenders, investment banks, insurers, broker dealers, asset managers, investment houses, securitisation vehicles and treasury functions in Europe, the Americas and AsiaPac. When doing so he has engaged with various members of the C-Suite. Mark’s special interests in relation to financial instruments include loan loss provisioning, classification and measurement, recognition and de recognition, valuation, offsetting and hedge accounting under IAS 39, IFRS 7, IFRS 9 and IFRS 13. He also has a special interest in the tax implications thereof, insurance accounting and acquisitions and disposals of interest in businesses.
Philippa Kelly was appointed ICAEW’s Head of Financial Services in 2018. Prior to that she focused on assurance related projects and was responsible for the development of Banking regulatory ratios: ICAEW assurance framework and Assurance reports on benchmarks and indices. Her current projects include research into the ethical use of big data in financial services and the publication of ICAEW’s principles on this topic. In addition to leading ICAEW’s technical and policy work related to banking, insurance and investment management, Philippa is a frequent commentator on diversity in financial services and importance of social purpose in the industry. She qualified as a chartered accountant with PwC and gained her LLB from the University of Sussex.