IAIS issues comment letter to the IASB’s exposure draft on proposed amendments to Financial Instruments with Characteristics of Equity

The International Association of Insurance Supervisors (IAIS) submitted a comment letter to the International Accounting Standards Board (IASB) on its exposure draft on proposed amendments to Financial Instruments with Characteristics of Equity (FICE), issued in November 2023.

Overall, the IAIS is supportive of what the IASB is aiming to achieve in proposing to clarify the principles as well as dealing with some of the common practice issues that have arisen in relation to FICE, without fundamentally changing the approach. The IAIS comment letter provides suggestions to areas that the IASB may wish to consider further. These areas include: reclassification of financial liabilities and equity instruments, contingent settlement provisions, disclosures and transition.

Click here to read the comment letter.