IFRS Accounting for Investments



£ 3001-4000


  • Type


  • Methodology


  • Duration

    2 Days

  • Start date

    Different dates available

This course is intended as a detailed workshop on IFRS for participants who are already familiar with the basics of accounting for investment activities, and who need to deepen and reinforce their understanding of this particularly complex area of accounting, both at the strategic and at the technical level.

The course will primarily focus on the problems of applying general-purpose accounting standards to the special circumstances of the client's own investment activities. Training Methodology: This intensive programme is strongly focused on the application of the relevant provisions of IFRS to a wide variety of real-life situations. It is designed as a hands-on experience for the participants, with a minimum of ‘chalk-and-talk' and a maximum of interaction among participants and between them and the trainer.

Participants will be encouraged to bring their own experience - and problems - to bear on the topics covered by the programme. The outline is to be taken as indicative only, and subject to detailed discussion of the client's specific needs. For instance, it can readily be modified to accommodate sessions on IAS 20 (Government Grants) and IAS 24 (Related Parties) if these were to be of interest.

This course is offered as an inhouse course, please contact the center for more information about the course, price or trainer.



Start date


Start date

Different dates availableEnrolment now open

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  • IFRS
  • Accounting
  • Equity Interests
  • Balance Sheet
  • Recognition
  • Floating rates
  • Market Multiples
  • Hedge accounting
  • Commodities
  • Embedded Derivatives

Teachers and trainers (1)

Former Practitioner

Former Practitioner

Former Practitioner

Course programme

Course Overview:

Day One: Investment asset classification under IFRS

  • Financial investments, and the principal criteria for distinguishing between:

- Equity interests in subsidiaries

- Equity interests in associates and joint ventures

- Financial instruments (i.e. portfolio investments)

  • Non-financial investments:

- Property (real estate)

- Alternative investments Financial instruments in detail

- Balance sheet

  • Detailed rules for;

- Recognition

- Initial measurement

- Subsequent remeasurement

- Derecogntion

  • Difference between equity and debt
  • The Fair Value categories: Fair Value through Profit and Loss, and Available for Sale
  • The amortised cost categories: Held To Maturity, and Loans and Receivables
  • Permitted reclassifications
  • Making sense of the available alternatives: why HTM is so unpopular and AFS is so popular
  • Accounting for derivatives including embedded derivatives
  • Impairment Financial instruments in detail - 2: the income statement
  • The amortised cost (effective interest rate) model, and its detailed application to special cases such as;

- Floating rate investments

- Foreign currency investments

- Prepayments and restructurings Non-financial investments

  • Real estate: the cost model and the fair value model
  • Accounting for leases, both as lessor and lessee
  • Impairment and impairment reversal  Special cases: unique (‘iconic') buildings for which no market price is available
  • Commodities and other alternative investments

Day Two: Valuing listed and marketable equity investments

  • The fair value hierarchy:

- Mark to market

- Mark to model (observable inputs only)

- Mark to model (some unobservable inputs)

  • Problems associated with large (i.e. potentially unmarketable) holdings: when premiums and discounts should be applied Valuing equity investments 2: Strategic and unlisted holdings
  • Basics of company valuation: the three families of methods and their limitations;

- Book value

- Market multiples

- Discounted cash flow

  • Theoretical and practical challenges associated with each Case studies Hedging and hedge accounting
  • Rationale for hedge accounting, and comparison with Fair value Option
  • Mechanics of hedge accounting for
  • Fair value hedges
  • Cash flow hedges Update on recent and impending developments
  • Progress report on those parts of IFRS 9 (replacement for IAS 39) so far published
  • Pending changes to the rules on:

- Amortised cost and impairment

- Hedge accounting

IFRS Accounting for Investments

£ 3001-4000