IASB Looking to Adapt to Changing Nature of Data Consumption
IASB Chair Hans Hoogervorst delivered a wide ranging speech to the AICPA SEC Conference earlier this week, touching on a number of topics, including some thoughts on the current state of globalisation, which while not derailed by recent election results in the UK and the US, is certainly in a state of flux. He is of the mind, as are we, that strong international standards are more important than ever. The level of cross border investment, and the demand for high quality data by investors, is simply too high to backtrack very far.
With that in mind, the IASB is committing to a number of things, including keeping IFRS standards as “closely converged as possible” with US GAAP; better handling of non-GAAP reporting so that a company’s financial picture is presented as accurately as possible; and improving the quality and reliability of electronic reporting, saying that continued work on the IFRS Taxonony will bring about “better structuring of the primary financial statements” and will “contribute to the quality and comparability of the information provided by data aggregators”. Much of our planned standards development efforts aligns with this latter goal as we look to simplify XBRL implementation and facilitate the use of structured data for enterprise reporting.
The IFRS Taxonomy sees heavy use around the world and is a primary force behind continued XBRL adoption, especially in the developing world. Read the speech.