Banking & Capital Markets Webcasts
US Regulation - Dodd Frank
The Dodd-Frank Wall Street Reform and Consumer Protection Act introduces new regulators and extends regulations over new markets, entities, and activities. The legislation is complex and its full impact will not be known until all of the studies have been conducted, reports written, and regulations issued. Importantly, these developments will impact those Australian financial services organisations that have subsidiary or branch operations in the US.The implementation of the Act will unfold over many months and even years, with a large group of agencies involved in interpreting the Act's 533 rules.
For supporting documentation please see our publications or contact your PwC representative.
Financial Instruments: Impairment
The FASB and IASB have issued a "supplementary document", titled Financial Instruments: Impairment, to their original proposals on impairment of financial assets. This document proposes a common approach to recognising credit losses on financial assets managed in an open portfolio - one of the more challenging aspects of the boards' impairment model. The proposed approach uses a dual impairment model for financial assets managed in an open portfolio, with credit losses determined based on the credit characteristics of financial assets. In substance, this means adopting an Expected Loss methodology for loan loss impairment.The proposal will mainly affect financial institutions. The boards are seeking feedback on the practical application of the exposure draft by 1 April 2011. The IASB is expected to finalise the impairment requirements by June 2011. A proposed implementation date has not been included in these proposals.
