Singapore

GID 22053 – IPSAS 41 Financial Instruments Workshop (2 Days): 29-30 March 2021 @ Singapore

£1,400.00

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Course Introduction

IPSAS 41, Financial Instruments, establishes new requirements for classifying, recognizing and measuring financial instruments to replace those in IPSAS 29, Financial Instruments: Recognition and Measurement.  This is effective for periods beginning on or after 1 January 2022 with early adoption permitted, therefore, the clock is ticking.

IPSAS 41 shall address the following:

  • Applying a single classification and measurement model for financial assets that considers the characteristics of the asset’s cash flows and the objective for which the asset is held;
  • Applying a single forward-looking expected credit loss model that is applicable to all financial instruments subject to impairment testing; and
  • Applying an improved hedge accounting model that broadens the hedging arrangements in scope of the guidance. The model develops a strong link between an entity’s risk management strategies and the accounting treatment for instruments held as part of the risk management strategy.

 The deepening integration of the key finance-related functions, from strategy and planning, through to Risk, Finance and Treasury mean that IPSAS 41 will have a widespread impact across the public sector entities.  The primary impact on your overall business model and financial reporting functions will, however, arise from the changes to the Impairment Methodology.  Therefore, most organization are up against the time and have to make sure that their resources have the required knowledge and strategic understanding to deal with the implementation of IPSAS 41.

The instructor will share his views and experience on the development and direction of IPSAS 41, differences between the existing and modified approaches and emerging challenges for the industry.  The instructor will also discuss the implementation road map to these accounting standards and the implications these standards have for your business.

Join us for this comprehensive new walk-through of IPSAS 41 framework to help your organization remain current in its knowledge and practice of the latest international accounting standards.

The Program will answer questions such as:

  • How to achieve the amortized cost criteria for financial Instruments;
  • How to apply the Business Model test and SPPI criteria on the existing portfolio?
  • When to use the fair value through Surplus/Deficiency category?
  • How to account for unquoted equity Instruments and hybrid instruments?
  • How to account for Own Credit Risk and accounting mismatches?
  • Can we change the classification and measurement of FIs?
  • Impairment: Incurred loss vs. expected credit loss model.
  • How to apply the new expected credit loss model?
  • What will be the impact on my impairment allowance?
  • How to apply the expected credit loss model to trade receivables, financial guarantees, and revolving credit facilities?
  • How can hedge engineering work to achieve better results?
  • What are the hedge accounting documentation requirements?
  • How is hedge effectiveness designed and tested?
  • How can ‘hidden’ derivatives be identified?
  • When do hybrid instruments need to be separated?

Instructor Bio

Instructor for this course

Our trainers have specialist knowledge and first-hand experience of implementing the International Financial Reporting Standards (IFRS), International Public Sector Accounting Standards (IPSAS), Generally Accepted Accounting Principles (USGAAP), Risk management strategies, Management practices, Compliance matters such as Basel regulations, Solvency II, Anti Money Laundering regulations and number of other evolving regulatory matters. This ensures an engaging and stimulating learning experience for professionals and senior executives, helping to ensure knowledge is retained.

They understand the accounting and regulatory requirements, risk environment, industry issues and challenges, risk management strategies, financial reporting & disclosure requirements, and compliance environment. They impart their knowledge using real-life industry examples, simple and user-friendly presentation of important concepts/approaches and case studies.

Your feedback

All delegates will receive an evaluation questionnaire upon completion of the course. The feedback from these questionnaires allows us to conduct trend analysis and continuously approve the quality of its learning solutions.

Course Description

IPSAS 41 and challenges ahead

  • Introduction;
  • IPSASB Timeline and latest amendments/discussion

Classification of Financial Instruments

  • IPSAS 29 Vs. IPSAS 41;
  • Measurement Criteria under each category;
  • Equity instruments classification and Challenges;
  • FVTDS for Debt instrument and issues
  • Business Model;
  • Characteristics of a Financial Asset test;
  • Accounting of Hybrid instruments/Embedded Derivatives;
  • Reclassification
  • Transition Challenges and impact
  • Examples and Group Case Studies

Financial Liabilities

  • Categories for Financial liabilities;
  • Hybrid instruments;
  • Bifurcation of embedded derivatives;
  • Accounting of Own Credit risk;
  • Accounting of CVA/DVA
  • Issues and Challenges;
  • Examples and Case Studies

Impairment of Financial Assets – (Incurred loss model vs expected loss model) 

  • Financial assets measured at amortized cost
  • Existing incurred loss model
  • proposed expected cash flows model/three bucket model
  • Application of impairment model
  • Emerging issues and challenges
  • Emerging issues and challenges ahead
  • Road map to expected loss model
  • General Hedge Accounting
  • Aligning hedge accounting with risk management
  • fair value and Cash flow hedges
  • Hedged items and Hedging instruments
  • Qualitative and Quantitative effectiveness
  • de-designation
  • Simpler and flexible hedge accounting framework
  • Examples and Group Case Studies

Why you must attend?

In August 2018, the International Public Sector Accounting Standards Board (IPSASB) has issued the final version of IPSAS 41, which replaces the existing requirements in relation to the classification and measurement, the impairment model and hedge accounting.  The IPSASB has kept the implementation date from 2022 primarily due to the fact that the implementation would require at least two years period considering the following challenges:

  • Size and complexity of the necessary changes to systems and processes;
  • Volume/Quality of data required;
  • Adoption of new classification and impairment models;
  • Impact on the capital;
  • Impact on the existing IT infrastructure;
  • Pool of skilled resources required for the implementation;
  • Interaction with the regulatory impairment and capital requirements; and
  • Market expectations in relation to the accounting, regulatory and taxation impacts in advance of the final standard coming into force”.

Public sector accounting compliance demands full adherence with all the applicable requirements. In order to be in compliance, an organisation must faithfully represent transactions, events, and conditions in accordance with the requirements. Auditors must determine that the accounting and reporting practices of the public sector entity have been carried out in accordance with the requirements stated in the pertinent standards.  As a professional, you must have the required knowledge and skills to implement accrual accounting, and to be able to understand how this transition affects your entity’s reporting, and what it means moving forward.

Key learning objectives

At the end of the course, you will be able to:

  • Understand the accrual accounting concepts, as well as key accounting concepts such as recognition, measurement, presentation and disclosure requirements,
  • Understand real-life accrual/cash basis accounting financial statements,
  • Understand the strategic implications of accrual accounting adoption,
  • Assess the impact of the application of accrual accounting on your organisation,
  • Understand the practical implications and challenges of an accounting conversion project,
  • Implement and apply accrual accounting in practice, drawing from best implementation practices learned during the course.
  • Grasp new career opportunities in relation to public sector accounting.

Who should attend

This course is designed for:

  • Public sector senior executives: Chief Financial Officers, Finance Directors, Accountant General, Auditors General, etc.
  • Practitioners involved in public sector accounting: accountants, auditors, finance and non-finance staff, budget officers, controllers, treasurers, etc.
  • Public Sector accounting conversion project managers and experts, etc.
  • Academics, accountancy students, etc. and any person who wants to develop a good understanding and working knowledge of the public sector accounting requirements and its challenges.

Venue & other info

All the training courses are organised at one of the professional training facilities or training facilities at one of the 4 to 5 star hotels in the city. You will receive the joining instructions with venue details at least 2 weeks before the commencement of the training program.  Tea/coffee, snacks and lunch will be provided during the duration of this course. You are responsible to organise your accommodation.

Changes to the conference

Shasat may (at its sole discretion) change the format, speakers, participants, content, venue location and program or any other aspect of the Conference at any time and for any reason, whether or not due to a Force Majeure Event, in each case without liability.

CPD hours

Each participant will be issued a training certificate, signed by Shasat and PwC, which will certify that you have successfully completed the training course and the number of hours you spent to complete this training course

Sponsorship

If you are seeking to profile your products, expertise and experience in the field of Financial Instrument then the Shasat will endeavour to assist your business objectives with opportunities such as:

 Brand exposure 

  • Targeted brand awareness and the association of your company with this area of expertise.

 Thought leadership 

  • Present your expertise to a targeted group of industry leaders.

 Product demonstrations 

  • Exhibit your products to new prospective clients already attending this conference.

Terms and Condition

Please read all the terms and conditions on our website including cancellation policy on our website.

Payment

In order to enrol for this programme, you can either make the payment online through our website or you can opt to make the payment via bank transfer/Demand draft/Cheque payment. Our payment web page will give you all the necessary options at the time of check out. Should you face any difficulty, please do not hesitate to contact us with your selected course and our customer services team will be happy to guide you through the payment process. You must also bear all the bank charges in relation to the payment of course fees and payment must be made at least 3 weeks before the course date. Registration will be confirmed upon receipt of payment and completion of registration form only.

Group discount

We offer a group discount of 15% if you book a course for 5 or more people. Please contact our customer services desk at info@shasat.com to discuss further on how to obtain a group discount code.

CPD hours

Each participant will be issued a training certificate which will certify that you have successfully completed the training course and the number of hours you spent to complete this training course.

Enquiries

Please contact our Customer Service for further assistance at info@shasat.com

In-House Training

Besides our wide range of public courses, we are proud to offer our In-house training services to our Global clients. This form of training is tailored to meet your business needs and also an effective way of training your teams which saves time and money and will improve the productivity of your employees, making your business more competitive. If you would like to run this course an In-house course in your organisation with necessary customisation to suit your needs then please contact us today to discuss this further.