SlideShare a Scribd company logo
1 of 34
Impact of Exposure Draft on Derivative Accounting for  Interest Rate Risk Presented by  Helen Kane June 8, 2010
[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Agenda
Codification Revision Status  ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Outline of Exposure Draft  ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Objective of Revision (BC212) ,[object Object],[object Object],[object Object]
What Hasn’t Changed (BC213) ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
What is Different
Effectiveness Testing  (BC 218-220) ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Effectiveness Testing  (BC 218-220) ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Effectiveness Documentation  (116) ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Effectiveness Testing  (BC 218-220) ,[object Object],[object Object],[object Object],[object Object],[object Object]
Effectiveness Measurement  (BC 224-229) ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Debit/Credit Example ,[object Object],[object Object],[object Object],[object Object],[object Object]
Effectiveness Measurement  (BC 116-118) ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Option Amortization
G20 Concept Plus…. ,[object Object],[object Object],[object Object],[object Object]
G20 Updated ,[object Object],[object Object],[object Object],[object Object]
G20 Updated ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
G20 Updated ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
G20 Updated ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
De-designation
No Election to Dedesignate ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Why No Dedesignation? ,[object Object],[object Object],[object Object],[object Object],[object Object]
Ineffectiveness Conclusion ,[object Object]
Foreign Denominated  Financial Instruments
Financial Instruments Fundamental Change ,[object Object],[object Object],[object Object],[object Object],[object Object]
Foreign Denominated Debt  ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Embedded Derivatives
Embedded Derivatives ,[object Object],[object Object]
Disclosure
Additional Disclosure Requirements (127) ,[object Object],[object Object],[object Object],[object Object],[object Object]
Additional Disclosure Requirements (128) ,[object Object],[object Object],[object Object],[object Object]
Reference Paragraphs ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
[object Object],Contact: hkane@hedgetrackers.com

More Related Content

Similar to Hedge Trackers reviews how FASB Exposure Draft on Financial Instruments - Derivative Instruments & Hedging Activities - will impact Interest Rate Hedge Programs

UNIVERSITY OF LA VERNEECBU 500D – BUSINESS FINANCEFINAL EXAM.docx
UNIVERSITY OF LA VERNEECBU 500D – BUSINESS FINANCEFINAL EXAM.docxUNIVERSITY OF LA VERNEECBU 500D – BUSINESS FINANCEFINAL EXAM.docx
UNIVERSITY OF LA VERNEECBU 500D – BUSINESS FINANCEFINAL EXAM.docx
ouldparis
 
FN6033-CORP FIN-LECTURE 5A.ppt
FN6033-CORP FIN-LECTURE 5A.pptFN6033-CORP FIN-LECTURE 5A.ppt
FN6033-CORP FIN-LECTURE 5A.ppt
hass6
 
Capital Budgeting
Capital BudgetingCapital Budgeting
Capital Budgeting
yashpal01
 
Revenue from Contracts with Customers
Revenue from Contracts with CustomersRevenue from Contracts with Customers
Revenue from Contracts with Customers
GroupAccounting
 
ChapterMcGraw-HillIrwinCopyright © 2008 by The McGraw-H.docx
ChapterMcGraw-HillIrwinCopyright © 2008 by The McGraw-H.docxChapterMcGraw-HillIrwinCopyright © 2008 by The McGraw-H.docx
ChapterMcGraw-HillIrwinCopyright © 2008 by The McGraw-H.docx
tiffanyd4
 

Similar to Hedge Trackers reviews how FASB Exposure Draft on Financial Instruments - Derivative Instruments & Hedging Activities - will impact Interest Rate Hedge Programs (20)

UNIVERSITY OF LA VERNEECBU 500D – BUSINESS FINANCEFINAL EXAM.docx
UNIVERSITY OF LA VERNEECBU 500D – BUSINESS FINANCEFINAL EXAM.docxUNIVERSITY OF LA VERNEECBU 500D – BUSINESS FINANCEFINAL EXAM.docx
UNIVERSITY OF LA VERNEECBU 500D – BUSINESS FINANCEFINAL EXAM.docx
 
Ch02
Ch02Ch02
Ch02
 
Kreischer Miller Architecture & Engineering Industry Seminar
Kreischer Miller Architecture & Engineering Industry SeminarKreischer Miller Architecture & Engineering Industry Seminar
Kreischer Miller Architecture & Engineering Industry Seminar
 
Conceptual framework - University of Dhaka
Conceptual framework - University of DhakaConceptual framework - University of Dhaka
Conceptual framework - University of Dhaka
 
Capital budgeting
Capital budgetingCapital budgeting
Capital budgeting
 
Problems based on accounting standards and guidance notes final
Problems based on accounting standards and guidance notes   finalProblems based on accounting standards and guidance notes   final
Problems based on accounting standards and guidance notes final
 
FN6033-CORP FIN-LECTURE 5A.ppt
FN6033-CORP FIN-LECTURE 5A.pptFN6033-CORP FIN-LECTURE 5A.ppt
FN6033-CORP FIN-LECTURE 5A.ppt
 
Sage Intacct Presentation - Contract Financial Statements
Sage Intacct Presentation - Contract Financial StatementsSage Intacct Presentation - Contract Financial Statements
Sage Intacct Presentation - Contract Financial Statements
 
What is IFRS 15/US GAAP ? Are your ready for BIG Change?
What is IFRS 15/US GAAP ? Are your ready for BIG Change?What is IFRS 15/US GAAP ? Are your ready for BIG Change?
What is IFRS 15/US GAAP ? Are your ready for BIG Change?
 
September Investor Presentation
September Investor PresentationSeptember Investor Presentation
September Investor Presentation
 
Navigating Revenue Recognition Standards for the Construction Industry
Navigating Revenue Recognition Standards for the Construction Industry Navigating Revenue Recognition Standards for the Construction Industry
Navigating Revenue Recognition Standards for the Construction Industry
 
Ch10
Ch10Ch10
Ch10
 
Capital Budgeting
Capital BudgetingCapital Budgeting
Capital Budgeting
 
XBRL
XBRLXBRL
XBRL
 
XBRL - 6 June 2011
XBRL - 6 June 2011XBRL - 6 June 2011
XBRL - 6 June 2011
 
August Investor Presentation
August Investor PresentationAugust Investor Presentation
August Investor Presentation
 
Dvn aug-2018-investor-presentation
Dvn aug-2018-investor-presentationDvn aug-2018-investor-presentation
Dvn aug-2018-investor-presentation
 
EQT Analyst Presentation for Marcellus Shale Drilling Program
EQT Analyst Presentation for Marcellus Shale Drilling ProgramEQT Analyst Presentation for Marcellus Shale Drilling Program
EQT Analyst Presentation for Marcellus Shale Drilling Program
 
Revenue from Contracts with Customers
Revenue from Contracts with CustomersRevenue from Contracts with Customers
Revenue from Contracts with Customers
 
ChapterMcGraw-HillIrwinCopyright © 2008 by The McGraw-H.docx
ChapterMcGraw-HillIrwinCopyright © 2008 by The McGraw-H.docxChapterMcGraw-HillIrwinCopyright © 2008 by The McGraw-H.docx
ChapterMcGraw-HillIrwinCopyright © 2008 by The McGraw-H.docx
 

More from HedgeTrackers

Best Practices For Your Hedge Program from Hedge Trackers, LLC
Best Practices For Your Hedge Program from Hedge Trackers, LLCBest Practices For Your Hedge Program from Hedge Trackers, LLC
Best Practices For Your Hedge Program from Hedge Trackers, LLC
HedgeTrackers
 

More from HedgeTrackers (6)

Preparing Your Derivatives for Dodd-Frank
Preparing Your Derivatives for Dodd-FrankPreparing Your Derivatives for Dodd-Frank
Preparing Your Derivatives for Dodd-Frank
 
IFRS: Derivative Accounting Direction
IFRS: Derivative Accounting DirectionIFRS: Derivative Accounting Direction
IFRS: Derivative Accounting Direction
 
Euro Dissolution Panel Discussion: Giving Treasury the Tools to Take the Lead
Euro Dissolution Panel Discussion: Giving Treasury the Tools to Take the LeadEuro Dissolution Panel Discussion: Giving Treasury the Tools to Take the Lead
Euro Dissolution Panel Discussion: Giving Treasury the Tools to Take the Lead
 
Derivative Accounting: Gearing UP for 2011 Year-End Audit and Disclosures
Derivative Accounting: Gearing UP for 2011 Year-End Audit and DisclosuresDerivative Accounting: Gearing UP for 2011 Year-End Audit and Disclosures
Derivative Accounting: Gearing UP for 2011 Year-End Audit and Disclosures
 
Best Practices For Your Hedge Program from Hedge Trackers, LLC
Best Practices For Your Hedge Program from Hedge Trackers, LLCBest Practices For Your Hedge Program from Hedge Trackers, LLC
Best Practices For Your Hedge Program from Hedge Trackers, LLC
 
FX Hedging at Risk in New FASB Exposure Draft
FX Hedging at Risk in New FASB Exposure DraftFX Hedging at Risk in New FASB Exposure Draft
FX Hedging at Risk in New FASB Exposure Draft
 

Recently uploaded

20240429 Calibre April 2024 Investor Presentation.pdf
20240429 Calibre April 2024 Investor Presentation.pdf20240429 Calibre April 2024 Investor Presentation.pdf
20240429 Calibre April 2024 Investor Presentation.pdf
Adnet Communications
 
CALL ON ➥8923113531 🔝Call Girls Gomti Nagar Lucknow best sexual service
CALL ON ➥8923113531 🔝Call Girls Gomti Nagar Lucknow best sexual serviceCALL ON ➥8923113531 🔝Call Girls Gomti Nagar Lucknow best sexual service
CALL ON ➥8923113531 🔝Call Girls Gomti Nagar Lucknow best sexual service
anilsa9823
 
VIP Independent Call Girls in Bandra West 🌹 9920725232 ( Call Me ) Mumbai Esc...
VIP Independent Call Girls in Bandra West 🌹 9920725232 ( Call Me ) Mumbai Esc...VIP Independent Call Girls in Bandra West 🌹 9920725232 ( Call Me ) Mumbai Esc...
VIP Independent Call Girls in Bandra West 🌹 9920725232 ( Call Me ) Mumbai Esc...
dipikadinghjn ( Why You Choose Us? ) Escorts
 
VIP Call Girl in Mira Road 💧 9920725232 ( Call Me ) Get A New Crush Everyday ...
VIP Call Girl in Mira Road 💧 9920725232 ( Call Me ) Get A New Crush Everyday ...VIP Call Girl in Mira Road 💧 9920725232 ( Call Me ) Get A New Crush Everyday ...
VIP Call Girl in Mira Road 💧 9920725232 ( Call Me ) Get A New Crush Everyday ...
dipikadinghjn ( Why You Choose Us? ) Escorts
 

Recently uploaded (20)

20240429 Calibre April 2024 Investor Presentation.pdf
20240429 Calibre April 2024 Investor Presentation.pdf20240429 Calibre April 2024 Investor Presentation.pdf
20240429 Calibre April 2024 Investor Presentation.pdf
 
Veritas Interim Report 1 January–31 March 2024
Veritas Interim Report 1 January–31 March 2024Veritas Interim Report 1 January–31 March 2024
Veritas Interim Report 1 January–31 March 2024
 
Solution Manual for Financial Accounting, 11th Edition by Robert Libby, Patri...
Solution Manual for Financial Accounting, 11th Edition by Robert Libby, Patri...Solution Manual for Financial Accounting, 11th Edition by Robert Libby, Patri...
Solution Manual for Financial Accounting, 11th Edition by Robert Libby, Patri...
 
The Economic History of the U.S. Lecture 30.pdf
The Economic History of the U.S. Lecture 30.pdfThe Economic History of the U.S. Lecture 30.pdf
The Economic History of the U.S. Lecture 30.pdf
 
Call Girls Service Nagpur Maya Call 7001035870 Meet With Nagpur Escorts
Call Girls Service Nagpur Maya Call 7001035870 Meet With Nagpur EscortsCall Girls Service Nagpur Maya Call 7001035870 Meet With Nagpur Escorts
Call Girls Service Nagpur Maya Call 7001035870 Meet With Nagpur Escorts
 
Stock Market Brief Deck (Under Pressure).pdf
Stock Market Brief Deck (Under Pressure).pdfStock Market Brief Deck (Under Pressure).pdf
Stock Market Brief Deck (Under Pressure).pdf
 
The Economic History of the U.S. Lecture 17.pdf
The Economic History of the U.S. Lecture 17.pdfThe Economic History of the U.S. Lecture 17.pdf
The Economic History of the U.S. Lecture 17.pdf
 
CALL ON ➥8923113531 🔝Call Girls Gomti Nagar Lucknow best sexual service
CALL ON ➥8923113531 🔝Call Girls Gomti Nagar Lucknow best sexual serviceCALL ON ➥8923113531 🔝Call Girls Gomti Nagar Lucknow best sexual service
CALL ON ➥8923113531 🔝Call Girls Gomti Nagar Lucknow best sexual service
 
VIP Independent Call Girls in Bandra West 🌹 9920725232 ( Call Me ) Mumbai Esc...
VIP Independent Call Girls in Bandra West 🌹 9920725232 ( Call Me ) Mumbai Esc...VIP Independent Call Girls in Bandra West 🌹 9920725232 ( Call Me ) Mumbai Esc...
VIP Independent Call Girls in Bandra West 🌹 9920725232 ( Call Me ) Mumbai Esc...
 
Vip Call US 📞 7738631006 ✅Call Girls In Sakinaka ( Mumbai )
Vip Call US 📞 7738631006 ✅Call Girls In Sakinaka ( Mumbai )Vip Call US 📞 7738631006 ✅Call Girls In Sakinaka ( Mumbai )
Vip Call US 📞 7738631006 ✅Call Girls In Sakinaka ( Mumbai )
 
WhatsApp 📞 Call : 9892124323 ✅Call Girls In Chembur ( Mumbai ) secure service
WhatsApp 📞 Call : 9892124323  ✅Call Girls In Chembur ( Mumbai ) secure serviceWhatsApp 📞 Call : 9892124323  ✅Call Girls In Chembur ( Mumbai ) secure service
WhatsApp 📞 Call : 9892124323 ✅Call Girls In Chembur ( Mumbai ) secure service
 
Dharavi Russian callg Girls, { 09892124323 } || Call Girl In Mumbai ...
Dharavi Russian callg Girls, { 09892124323 } || Call Girl In Mumbai ...Dharavi Russian callg Girls, { 09892124323 } || Call Girl In Mumbai ...
Dharavi Russian callg Girls, { 09892124323 } || Call Girl In Mumbai ...
 
(ANIKA) Budhwar Peth Call Girls Just Call 7001035870 [ Cash on Delivery ] Pun...
(ANIKA) Budhwar Peth Call Girls Just Call 7001035870 [ Cash on Delivery ] Pun...(ANIKA) Budhwar Peth Call Girls Just Call 7001035870 [ Cash on Delivery ] Pun...
(ANIKA) Budhwar Peth Call Girls Just Call 7001035870 [ Cash on Delivery ] Pun...
 
Log your LOA pain with Pension Lab's brilliant campaign
Log your LOA pain with Pension Lab's brilliant campaignLog your LOA pain with Pension Lab's brilliant campaign
Log your LOA pain with Pension Lab's brilliant campaign
 
Pooja 9892124323 : Call Girl in Juhu Escorts Service Free Home Delivery
Pooja 9892124323 : Call Girl in Juhu Escorts Service Free Home DeliveryPooja 9892124323 : Call Girl in Juhu Escorts Service Free Home Delivery
Pooja 9892124323 : Call Girl in Juhu Escorts Service Free Home Delivery
 
03_Emmanuel Ndiaye_Degroof Petercam.pptx
03_Emmanuel Ndiaye_Degroof Petercam.pptx03_Emmanuel Ndiaye_Degroof Petercam.pptx
03_Emmanuel Ndiaye_Degroof Petercam.pptx
 
Indore Real Estate Market Trends Report.pdf
Indore Real Estate Market Trends Report.pdfIndore Real Estate Market Trends Report.pdf
Indore Real Estate Market Trends Report.pdf
 
06_Joeri Van Speybroek_Dell_MeetupDora&Cybersecurity.pdf
06_Joeri Van Speybroek_Dell_MeetupDora&Cybersecurity.pdf06_Joeri Van Speybroek_Dell_MeetupDora&Cybersecurity.pdf
06_Joeri Van Speybroek_Dell_MeetupDora&Cybersecurity.pdf
 
Basic concepts related to Financial modelling
Basic concepts related to Financial modellingBasic concepts related to Financial modelling
Basic concepts related to Financial modelling
 
VIP Call Girl in Mira Road 💧 9920725232 ( Call Me ) Get A New Crush Everyday ...
VIP Call Girl in Mira Road 💧 9920725232 ( Call Me ) Get A New Crush Everyday ...VIP Call Girl in Mira Road 💧 9920725232 ( Call Me ) Get A New Crush Everyday ...
VIP Call Girl in Mira Road 💧 9920725232 ( Call Me ) Get A New Crush Everyday ...
 

Hedge Trackers reviews how FASB Exposure Draft on Financial Instruments - Derivative Instruments & Hedging Activities - will impact Interest Rate Hedge Programs

Editor's Notes

  1. Likely delay in Effective Date (2013 or 2014) Could derivative accounting changes come early? Comment period ends Sept. 30, 2010
  2. Note the Fannie Mae problem for inconsistency Defacto FV option on tire inventory if no controls
  3. Note the Fannie Mae problem for inconsistency Defacto FV option on tire inventory if no controls
  4. Note the Fannie Mae problem for inconsistency Defacto FV option on tire inventory if no controls
  5. Now like FV and NI hedging
  6. OCI is catch-all for change in PEHD and amortization of Option
  7. OCI is catch-all for change in PEHD and amortization of Option
  8. OCI is catch-all for change in PEHD and amortization of Option
  9. OCI is catch-all for change in PEHD and amortization of Option
  10. Put in the detail from the theoretical preso and see what slides here can be removed or made as a handout.
  11. Added to KC
  12. Put in the detail from the theoretical preso and see what slides here can be removed or made as a handout.
  13. Put in the detail from the theoretical preso and see what slides here can be removed or made as a handout.