The problems of “fixed-for-fixed,” fixed?

The IASB has published for public comment a Discussion Paper on how companies issuing financial instruments should classify them in their financial statements. Comments are to be received by January 7, 2019. Here’s how the accompanying news release summed up this initiative: IAS 32 Financial Instruments: Presentation currently sets out how a company that issues financial instruments should distinguish…

Improving the conceptual framework…except for the bits about equity?

As we discussed here, the IASB has published for public consultation proposals to improve the Conceptual Framework for Financial Reporting, with comments to be received by October 26, 2015. The proposals retain the current definition of equity, as “the residual interest in the assets of the entity after deducting all its liabilities,” adding a few…

It’s incremental!

Issues relating to the costs of raising equity Here’s another of the issues arising from extracts of enforcement decisions issued in the past by the European Securities and Markets Authority (ESMA) (for more background see here); this is from their 15th edition: “The issuer is a pharmaceutical company which was listed for the first time…

Flow-through shares and warrants – square pegs in round holes?

Here’s an issue recently considered by the Canadian IFRS Discussion Group: “Current Canadian tax legislation permits entities in mining or oil and gas exploration, and entities in certain emerging technologies, to issue securities to investors whereby the deductions for tax purposes related to expenditures made previously, or in the future, may be claimed by the…