• UK Corporate Governance Code reporting improves but more is required to strengthen company reporting

    November 25, 2021 Published: FRC The Annual Review of Corporate Governance published today by the Financial Reporting Council found that there was a general improvement in reporting against the UK Corporate Governance Code. The report highlights areas of high-quality reporting, however, there is still room for further improvement in areas such as substantive disclosures on Board appointments, succession planning and diversity. The report also found that

  • IFAC Publication Highlights Opportunities in Sustainability Information for Small Businesses and Their Advisers

    November 18, 2021 Published: IFAC Today, IFAC released a publication, “Sustainability Information for Small Businesses: The Opportunity for Practitioners,” exploring the diverse benefits of embracing sustainability information.  The report examines the importance of readily available, relevant, and reliable sustainability information for achieving better-informed decisions, enhanced strategic and risk management, and more thorough and valuable reporting

  • IOSCO calls for oversight of ESG Ratings and Data Product Providers

    November 22, 2021 Published: IOSCO The Board of the International Organization of Securities Commissions (IOSCO) today has published a set of recommendations applicable to ESG Ratings and Data Product Providers. Ashley Alder, Chairman of IOSCO and CEO of the Hong Kong SFC said: “ESG ratings and thirdparty data products have played an important role in the ESG

  • SEC Proposes Updates to Electronic Recordkeeping Requirements

    November 18, 2021 Published: SEC Amendments Will Help Modernize How Broker-Dealers Preserve Electronic Records and Enhance the Requirements for Security-Based Swap Entities The Securities and Exchange Commission today published proposed amendments to the electronic recordkeeping and prompt production of records requirements applicable to broker-dealers, security-based swap dealers (SBSDs), and major security-based swap participants (MSBSPs). “This

  • FRC publishes latest edition of Developments in Audit

    November 18, 2021 Published: FRC The Financial Reporting Council (FRC) has today published its latest edition of Developments in Audit, which sets out the FRC’s annual assessment of UK audit and ongoing expectations for how audit firms should deliver audit quality improvements to deliver a more effective audit market in the public interest. In this year’s Developments in Audit, professional scepticism

  • Accountancy Sector Fraud Charter: Here is what you need to know

    November 17, 2021 Published: The Accountant By Verdict Staff Following a 24% rise in fraud during Covid-19, the UK government relaunched the Joint Fraud Taskforce at the end of October, seeking to counter fraud through public-private partnership. Three new charters have also been signed, including the Accountancy Sector Fraud Charter. Anne Davis, director of professional

  • Ground-breaking FRC report sets out what it expects from audit firms to deliver high quality audit

    November 16, 2021 Published: FRC ·        Today, the FRC has, for the first time, published a blueprint for what is required by UK audit firms to deliver high-quality audit ·        Investors, employees, pensioners and savers expect to rely on better quality information about the performance and prospects of UK companies ·        In 2021, almost 30% of audits reviewed by

  • Time to deliver on high quality sustainability reporting

    November 12, 2021 Published: Accountancy Europe Accountancy Europe applauds Commissioner McGuinness’ approach to sustainability standards announced at COP 26 and the consolidation of VRF and CDSB under the IFRS Foundation Accountancy Europe fully supports the European Green Deal ambitions. The world needs to transform its business model if we are to become sustainable. Reporting will

  • FRC staff factsheet: Climate-related matters

    November 12, 2021 Published: FRC The FRC has today published a new FRC staff factsheet, Climate-related matters, part of a series that accompanies FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland. Demand from stakeholders continues to increase the focus on how Environmental, Social and Governance (ESG) matters can affect

  • Energy price surge underlines need to accelerate clean energy transitions rather than subsidise fossil fuels – OECD & IEA

    November 2, 2021 Published: OECD Countries should resist raising government support for fossil fuels in response to the global surge in energy prices and the economic impacts of the pandemic, according to the OECD and IEA. Instead, given the existential threat of climate change and the need for a green recovery, they should accelerate investment

  • IPSASB issues Guidance on the Capitalization of Borrowing Costs

    November 03, 2021 Published: IPSASB The International Public Sector Accounting Standards Board® (IPSASB®) has issued Amendments to IPSAS 5, Borrowing Costs – Non-Authoritative Guidance. The new pronouncement adds implementation guidance and illustrative examples to IPSAS 5. The new material illustrates how the existing principles for when borrowing costs can be capitalized should be applied in various regularly encountered public sector contexts.

  • SEC Approves PCAOB Rule to Establish A Framework for Determinations Under the Holding Foreign Companies Accountable Act

    November 5, 2021 Published: SEC The Securities and Exchange Commission announced that it has approved the Public Company Accounting Oversight Board’s (PCAOB) Rule 6100, Board Determinations Under the Holding Foreign Companies Accountable Act. Rule 6100 will establish a framework for the PCAOB’s determinations under the Holding Foreign Companies Accountable Act (HFCAA) that the PCAOB is unable

  • IFAC Pledges Ongoing Support for New International Sustainability Standards Board

    November 03, 2021 Published: IFAC Global Standards to Be Set for Investor-Focused Sustainability Disclosure The International Federation of Accountants (IFAC), which comprises 180 member and associate organizations and represents over 3 million professional accountants globally, welcomes the establishment of the International Sustainability Standards Board (ISSB) working in close cooperation with the International Accounting Standards Board (IASB), under

  • IFRS Foundation announces International Sustainability Standards Board, consolidation with CDSB and VRF, and publication of prototype disclosure requirements

    November 3, 2021 Published: IFRS As world leaders meet in Glasgow for COP26, the UN global summit to address the critical and urgent issue of climate change, the IFRS Foundation Trustees (Trustees) announce three significant developments to provide the global financial markets with high-quality disclosures on climate and other sustainability issues: The formation of a new International

  • Global Finance Ministers gather to discuss how Public and Private Finance can lead the transition to a Net Zero, Climate Resilient Word

    November 3, 2021 Published: Un Climate Change Conference UK 2021 Finance Ministers gather in Glasgow to discuss mobilizing funding for rapid, large-scale climate action Discussions follow new pledges of public climate funding from developed nations at COP26 World Leaders Summit, including significant pledges for climate adaptation Finance commitments for climate mitigation led by new announcement

  • Setting regulatory and supervisory expectations for asset managers is fundamental to address greenwashing concerns, says IOSCO

    November 2, 2021 Published: IOSCO The Board of the International Organization of Securities Commissions (IOSCO) has published today a set of recommendations about sustainability-related practices, policies, procedures and disclosures in the asset management industry. Ashley Alder, Chairman of IOSCO and CEO of the Hong Kong SFC said that “Asset managers, who are a critical part

  • FRC publishes latest major local audit quality inspection results

    October 29, 2021 Published: FRC The Financial Reporting Council (FRC) has today published its inspection findings into the quality of major local body audits in England (which includes large health and local government bodies) for the financial year ended 31 March 2020. The FRC reviewed 20 major local audits performed by six of the largest audit firms and

  • Preparing for mandatory TCFD reporting including disclosures of scenario analysis

    October 28, 2021 Published: FRC This year premium listed companies will need to report against the Taskforce on Climate-related Financial Disclosures (TCFD) recommendations on a comply or explain basis in their annual reports with other companies following in the future.  The Financial Reporting Lab (the Lab) has published areport in advance of these requirements to help companies prepare

  • IOSCO updates its outsourcing principles to ensure operational resilience

    October 27, 2021 Published: IOSCO The Board of the International Organization of Securities Commissions (IOSCO) today published a set of updated outsourcing principles for regulated entities that outsource tasks to service providers. Since the publication of IOSCO´s principles on outsourcing for market intermediaries in 2005 and for markets in 2009, new developments in markets and

  • NEW Issue of Tone at the Top — OnRisk 2022: Timely Insights on Key Risks

    October 22, 2021 Published. The Institute of Internal Auditors (IIA) As the world begins to go back to business as usual after braving 18 months of the “new normal,” many are reassessing top risks and rewards… and it’s clear that there are continued concerns from this prolonged pandemic. OnRisk 2022: A Guide to Understanding, Aligning,

  • International community strikes a ground-breaking tax deal for the digital age

    October 8, 2021 Published: OECD Major reform of the international tax system finalised today at the OECD will ensure that Multinational Enterprises (MNEs) will be subject to a minimum 15% tax rate from 2023. The landmark deal, agreed by 136 countries and jurisdictions representing more than 90% of global GDP, will also reallocate more than

  • Holistic approach needed to narrow audit expectation gap

    October 20, 2021 Published: The Accountant A holistic approach is needed to narrow the audit expectation gap for the benefit of public interest, according to a new report issued by the Association of Chartered Certified Accountants (ACCA), Chartered Accountants Australia and New Zealand (CA ANZ), Chartered Professional Accountants of Canada (CPA Canada) and the Canadian

  • A quest for consistency, comparability and reliability

    October 15, 2021 Published: The Accountant As the IFRS Foundation works to establish the International Sustainability Standards Board (ISSB), Joe Pickard speaks to ACCA’s head of sustainability, Emmeline Skelton, about the importance of a comparable set of standards  The Accountant: There are currently a range of sustainability standards available. How impactful do you think the

  • PCAOB Releases Staff Update and Preview of 2020 Inspection Observations

    October 18, 2021 Published: PCAOB Today the PCAOB released a new Spotlight publication, “Staff Update and Preview of 2020 Inspection Observations.”  In 2020, the Public Company Accounting Oversight Board (PCAOB) inspected 153 audit firms, reviewing portions of 617 audits that generally had financial years ended during 2019 and the first half of 2020. Key observations from

  • 6 ways to make the entire organization care about anti-fraud efforts

    October 18, 2021 Published: Journal of Accountancy By: Andrew Kenney John Hall, CPA, has spoken to thousands of employees at hundreds of organizations around the world — from Las Vegas casinos to national governments in Eastern Europe — about ethics, integrity, and fraud prevention. Few people would disagree about the importance of those topics. But to

  • Article: Business Combinations under Common Control—filling a gap in IFRS Standards

    October 12, 2021 Published: IFRS In this article published in the Australian Accounting Review, International Accounting Standards Board (Board) Member Ann Tarca explains the Board’s preliminary views for accounting for business combinations under common control, an issue not currently addressed in IFRS Standards. Such combinations are widespread and the accounting for them is diverse. The Board’s

  • 5 tips for maintaining audit quality today and in the future

    October 13, 2021 Published: Journal of Accountancy The global pandemic brought unprecedented challenges to public company auditors as well as the clients and the public they serve. “Audit teams have risen to the challenge and evolved,” Kelly Grier, CPA, US chair and managing partner and Americas managing partner for EY, said Wednesday during a webcast

  • Lab report: Get ready for structured digital reporting

    October 12, 2021 Published: FRC Under the Disclosure Guidance and Transparency Rules, certain companies are required to start producing their 2021 annual financial reports in a structured electronic format. As a result, electronic data for thousands of companies will become available for automatic extraction, analysis and comparison. However, the data will only be useful if

  • IOSCO World Investor Week raises awareness on the importance of investor education for the protection of investors

    October 11, 2021 Published: IOSCO The International Organization of Securities Commissions (IOSCO) concluded the fifth World Investor Week (WIW) on 10 October, with a strong and enthusiastic participation of supporters around the globe. Some jurisdictions may also conduct WIW-related activities during October or November to accommodate the impact of the Covid-19 pandemic on their local

  • PCAOB issues staff guidance on audit evidence from other sources

    October 7, 2021 Published: Journal of Accountancy The PCAOB issued staff guidance Thursday on things for auditors to consider regarding the relevance and reliability of information from external sources that the auditor plans to use as audit evidence. In addition, the guidance addresses the relationship between the quality and quantity of audit evidence. The board’s staff has

  • From Vision to Reality: ESG integration Proliferating in Private Market

    October 5, 2021 Published: SASB Robust ESG integration across a comprehensive set of practitioners has quickly become a reality in the private markets. A rapidly rising number of firms license SASB Standards for use in all stages of investment and reporting processes: over the last three years, the number of private markets entities licensing SASB

  • Revisions proposed to AICPA ethics code address certain SEC rule changes

    October 5, 2021 Published: Journal of Accountancy Revisions to four interpretations and one definition were proposed Tuesday by the AICPA Professional Ethics Executive Committee (PEEC) in an effort to address amended independence rules issued by the SEC in October 2020. The SEC’s amendments to certain requirements in Rule 2-01 of Regulation S-X were designed to prevent the triggering of

  • Voices: Cybersecurity mistakes your firm is still making

    October 4, 2021 Published: AccountingToday By: Wes Stillman, CEO, RightSize Solutions As recent breaches and related major SEC-imposed fines have made clear, cybersecurity is not something that financial advisors and accountants can afford to address once in a policy handout, never to revisit. Indeed, breaches keep occurring and mistakes keep happening because of non-adherence to firms’ cybersecurity policies

  • ISSB: The need for comparable sustainability reporting standards

    October 1,2021 Published: The Accountant The COP26 Summit, arguably the most important climate conference to date, is set to run between 31 Oct- 12 Nov. A lot has changed since the Paris Agreement which was adopted by 196 countries in 2015, and the world will be watching how political leaders from across the globe plan

  • Event Recording and Reflections:Plugging the Net-Zero Information Gap.

    September 28, 2021 Published: IFAC We at IFAC, alongside many of our partners and stakeholders, consistently advocate for relevant, reliable, and comparable sustainability-related information, including enhanced climate risk assessment and disclosure.  We believe professional accountants have an essential role to play as companies strive to meet rapidly increasing demands from investors, policy-makers, and other stakeholders for enhanced

  • PCAOB moves to strengthen lead auditor’s oversight of other auditors

    PCAOB moves to strengthen lead auditor’s oversight of other auditors September 28, 2021 Published: Journal of Accountancy The lead auditor’s role in planning and executing a public company audit that involves other auditors would be enhanced under a proposal posted Tuesday in a second supplemental request for comment by the PCAOB. The PCAOB has been looking for

  • Bringing the ESG Ecosystem to Life

    September 22, 2021 Published: Financial Executives International (FEI) Demand for high-quality information related to a company’s reporting on environmental, social, and governance activities (ESG) has dramatically increased. As one finance executive noted, “there are companies or customers that won’t do business with us unless we do a climate survey and score a certain grade, so customers

  • ING: Setting the Bar for Climate Risk Reporting

    September 21, 2021 Published: SASB ING (NYSE: ING), the global bank headquartered in Amsterdam, was one of the first European companies to disclose using the SASB Standard for commercial banks. We connected with Sandra Schoonhoven, Head of Sustainability Programmes, to discuss ING’s approach to climate risk reporting on the heels of the bank’s first integrated climate

  • Voices: The next step in cybersecurity: ‘Zero Trust’

    September 22, 2021 Published: AccountingToday Once, we navigated the digital world on a “trust but verify” policy. Companies had perimetric security controls (e.g., a firewall) to safeguard their network and data, and once traffic cleared that single checkpoint or “border wall,” it could freely communicate within the network without further checks. This worked well, for

  • The IIA Releases New Global Technology Audit Guide (GTAG) on Auditing Business Applications

    September 15, 2021 Published: The IIA The IIA’s Standards and Professional Knowledge department has released a new Global Technology Audit Guide (GTAG), “Auditing Business Applications,” to help internal auditors provide assurance and consulting services related to business applications. The GTAG describes how to identify and assess the risks and standardized and system-specific controls relevant to

  • Investor Perspectives: Disclosures in financial statements to better reflect investor needs

    September 21, 2021 Published: IFRS Investors have been calling for better disclosures in financial statements, but delivering more useful disclosures to them proves to be a consistent challenge for companies. To help companies, the International Accounting Standards Board (Board) has proposed a new approach to developing and drafting disclosure requirements in IFRS Standards. It is currently consulting on this approach and would like to hear from investors. In

  • Transition to integrated reporting: A guide to getting started

    September 20, 2021 Published: Value Reporting Foundation The Value Reporting Foundation today publishes Transition to integrated reporting: A Guide to getting started to help report preparers develop a custom-fit transition plan to integrated reporting.  The Guide is a companion to the <IR> Framework, the principles-based, multi-capital framework used to accelerate integrated reporting across the world. Integrated reporting helps businesses think

  • IFAC Calls on G20 Leaders to Focus on Sustainability Reporting and Public Sector Integrity

    September 15, 2021 Published: IFAC Urges continued commitment to sustainability, inclusion, prosperity, and global collaboration IFAC defined two key actions for G20 leaders to focus on as COVID-19 persists: supporting the IFRS Foundation’s initiative on sustainability standards, and championing public financial management. Commitment to these two actions, which build on the four priorities laid out in IFAC’s 2020

  • How to use COSO to implement and scale AI projects

    September 15, 2021 By Ken Tysiac Amid a surge in technological capabilities, many organizations are rapidly deploying artificial intelligence (AI) to make maximum use of data and make certain processes more efficient and effective. But along with opportunities for improvement, AI can pose risks that often are not isolated to a single department such as

  • Feedback on the actuarial aspects of insurance entity audits

    September 10, 2021 Published: FRC The FRC has today published a letter providing feedback on the actuarial aspects of insurance entity audits.  The feedback is based on recent AQR reviews across various audit firms. In performing audits for insurers, actuarial specialists or experts are routinely utilised to advise audit engagement leaders (“auditors”) on actuarial matters

  • IFAC Urges Stakeholders to Prepare Now for Global Sustainability Standards

    September 09, 2021 Published: IFAC IFAC Releases Practical Framework for Deploying Global Standards at Local Level Today, the International Federation of Accountants (IFAC) published a framework for implementing global sustainability standards at the local level, focusing on the building blocks approach published in May 2021. IFAC believes that jurisdictions must begin examining how global standards that the International Sustainability

  • FRC publishes review findings on Streamlined Energy and Carbon Reporting

    September 8, 2021 Published: FRC The Financial Reporting Council (FRC) has today published the findings of its review of reporting on emissions, energy consumption and related matters under the new Streamlined Energy and Carbon Reporting (SECR) rules which came into effect from 1 April 2019. The FRC’s review considered how a sample of companies and Limited Liability Partnerships

  • A take on cryptoasset transactions, investments, and risk

    September 1, 2021 Published: Journal of Accountancy By Mark D. Mishler, CPA CFOs need to gain perspective on how to handle the accounting, tax, internal control, and risk management challenges of cryptoasset transactions. Businesses are increasingly accepting crypto-assets as payment, paying in cryptoassets, or holding cryptoassets as investments, but CFOs must not confuse cryptoassets with electronic cash

  • IFAC Releases Statement on Climate Change Information and the 2021 Reporting Cycle

    september 07, 2021 Published: IFAC Professional accountants have an active role to play in determining the way climate change information is reported in the upcoming 2021 reporting cycle and is enhanced in future years.  In a new statement released today, IFAC continues to advocate and support the profession’s role in enabling climate action by providing transparency and insights

  • OSCO publishes guidance for intermediaries and asset managers using Artificial Intelligence and Machine Learning

    September 07, 2021 Published: IOSCO The Board of the International Organization of Securities Commissions (IOSCO) today published guidance to help its members regulate and supervise the use of Artificial Intelligence (AI) and Machine Learning (ML) by market intermediaries and asset managers, following its consultation report published in June. The use of AI and ML may