Naslov
IFRS 9 impact on bank landing policy and structural risk management

Autori
Ercegovac, Roberto

Izvornik
Euroasian Journal of Busniess and Management (2148-0206) 6 (2018), 3; 53-60

Vrsta, podvrsta i kategorija rada
Radovi u časopisima, članak, ostalo

Ključne riječi
IFRS9, financial assets, fair value, lending policy, structural risk

Sažetak
International Financial Reporting Standard 9 (IFRS 9) introduced new principles of classification and measurement of financial instruments, financial assets impairment management, and hedging accounting. In initial recognition and accounting classification of financial assets in amortized costs category, fair value through other comprehensive income, or fair value through profit or loss, IFRS 9 implemented new solely payments of principal and interest (SPPI) test and related benchmark test. Bank landing policy has to take in consideration the IFRS 9 principles of initial recognition of loan contract. In case that the loan contract has terms that give cash flows like solely payments of principal and interest, than the financial assets is consistent with the base landing agreement and can be measured by amortized costs. Otherwise, the loan has to be fair valued with influence on bank structural risk position. Bank landing policy has to be adjusted with banking book management to avoid structural risk hedging costs. If contractual cash flows are not solely payments of principal and interest it is necessary to make a business model test. Business lines in banking firm have to be introduced to IFRS 9 request in product supply definition that is in compliance with bank risk policy.

Izvorni jezik
Hrvatski

Znanstvena područja
Ekonomija

POVEZANOST RADA