IOSCO releases a statement on the importance of high-quality valuation information
IOSCO releases a statement on the importance of high-quality valuation information
The International Organization of Securities Commissions (IOSCO) has issued a statement emphasising the importance of consistent, high-quality valuation information disclosed in financial statements.
IOSCO identified the following areas where valuation practices could be improved:
IOSCO identified the following areas where valuation practices could be improved:
- Utilisation of valuation experts when required
- Use of high-quality inputs and assumptions
- Determination if an ‘active market’ exists or if adjustments should be made to quoted price
- Supporting the conclusion of why an ‘identical or similar’ asset or liability is an appropriate basis for the valuation of assets or liabilities with not observable market
- Sufficient level of detail of fair value disclosures