Fair Value measurement, which is the rational estimate of a good's current market value, continues to be a focus of both the investor and preparer communities. The transparency related to those measurements through increased disclosure is an ongoing challenge for preparers to comply with and for users to rapidly understand. Don't fret, though, for there are ways for you to learn fast about what you have to consider in evaluating an asset's market value and how to comply to the rules.
This Knowledge Group live webcast aims to provide insights and help you understand the essentials to consider in fair value measurement. Register now and get the chance to ask questions and interact with the speakers, live. Advanced registration is recommended as space is limited. Please click the registration button below to enroll in this course today.
Course Level: Intermediate
Prerequisite: None
Method Of Presentation: Group-Based-Internet
Developer: The Knowledge Group, LLC
Recommended CLE/CPE Hours: 2.0
Important Note: Your State Bar or Accounting Board will make the final determination with respect to continuing education credit. If you are applying for CLE credit in Texas you must register 20 days before the event date or you will not be able to obtain CLE credit.
Advance Preparation: Print and review course materials
Course Code: 103978
Paul J. Nockels
Partner
Michael A. Poveda
Partner, National Office - Accounting Consultation
Dr. Stephan Forstmann
Managing Director
David I. Tabak, Ph.D.
Senior Vice President
Louis Fanzini, CPA
Director, Accounting Policy Group
Paul J. Nockels, Partner, McGladrey & Pullen, LLP
- Summarize a few important accounting standard updates related to fair value measurements and disclosures
- Where applicable, measuring the fair value of an investment using “NAV” as a practical expedient is now explicitly permissible as the - - FASB recognizes the difficulties in measuring fair value of these investments in any other way
- Changes to the fair value hierarchy as a result of updates
- Fair value measurement disclosure requirements are expanded to provide additional information not previously required
Louis Fanzini, CPA, Director, Accounting Policy Group, Credit Suisse
- The process we’ve been through.
- Operationalizing - as it relates to theories on implementation.
Michael A. Poveda, Partner, National Office - Accounting Consultation, Deloitte & Touche LLP
- Let’s get caught up – Summary of FASB fair value accounting guidance issued over the past year. I will also spend a few minutes on the recent ASU (update to ASC 815) on embedded credit derivatives that may expand fair value measurements for certain types of investments.
- Focus on fair value disclosures – Recent IASB/FASB guidance and possible updates to look out for. I will also spend a few minutes commenting on the recently effective guidance on plan asset disclosures (formerly, FSP FAS 132(R)-1).
- Looking forward – more fair value measurements? A few comments on joint IASB/FASB financial instruments and fair value measurements projects.
Stephan Forstmann, Managing Director, Duff & Phelps
- Implementation of 2009-12 and the AICPA guidance thereon. What, if anything, has transpired through the first audit cycle?
- Quick review of the rules for NAV to be used as a practical expedient for FV (fund, in phase, robust process led to NAV)
- Review of how to determine whether GP has a robust process
- Review of what to do if NAV is not in phase – current practice
- Review of how to determine FV if NAV cannot be used
- Outlook for industry from LP perspective
SEGMENT 5:
David I. Tabak, Senior Vice President, NERA Economic Consulting
- Finding that a security does not trade in an active market does not necessarily give you total freedom in valuation.
- What factors exist for determining whether a market is active/efficient (FAS 157-4, Cammer v Bloom, finance literature)
- Examples of how factors can suggest a range of permissible valuations (e.g., in isolation, a bid-ask spread widening from 2% to 5% may justify a valuation of 2.5% away from the market price, but not a valuation 10% away from the market price)
- Recognizing that different factors can give conflicting signals about the range of possible valuations.
- Controllers
- Treasurers
- Financial Reporting Personnel
- Valuation Analysts
- CPAs
This is a must attend event to hear & understand important aspects of fair value measurement.
- New guidance explained by the most qualified key leaders & experts
- Hear directly from key regulators & thought leaders
- Interact directly with panel during Q&A