Instrumentos financeiros híbridos e/ou compostos têm sido tema constante em matéria de regulação contábil. A literatura positiva apresenta uma hipótese que ajuda a compreender o porquê de algumas firmas recorrerem a ditos instrumentos para captar recursos: nível de endividamento no limite de quebra de covenants contratuais. No Brasil, firmas com registro na CVM, que se utilizaram desses instrumentos, classificando-os no patrimônio líquido, tiveram suas ITRs e/ou DFs reapresentadas e/ou republicadas por determinação da CVM. O ponto crítico de toda a discussão reside na distinção entre um item de passivo e um item de patrimônio líquido. Esse tema está disciplinado na IAS 32 (PT CPC n. 39) e presente no Discussion Paper - A review of the conceptual framework for financial reporting, emitido pelo IASB em julho de 2013, que apresenta duas abordagens que podem ser utilizadas, visando a simplificar a distinção entre um item de passivo e de patrimônio líquido: a narrow equity approach - NEA e a strict obligation approach - SOA. A adoção de cada uma dessas abordagens terá um impacto diferente nos níveis de endividamento/alavancagem e no potencial de diluição de participação dos acionistas. Este trabalho tem como objetivo investigar abordagens para a classificação contábil das debêntures mandatoriamente conversíveis em ações, vis-à-vis a IAS 32 (PT CPC n. 39) e o Discussion Paper do IASB (NEA x SOA). A metodologia adotada é um estudo de caso de uma companhia aberta brasileira, que em 2010 emitiu debêntures mandatoriamente conversíveis e efetuou uma classificação desses instrumentos considerada inadequada pelo órgão regulador. Observa-se que a strict obligation approach é a abordagem que impacta menos no nível de endividamento, enquanto a narrow equity approach é a que apresenta maior alavancagem. As evidências sugerem os covenants contratuais como possíveis indutores de tal prática, fato que está em linha com o que a literatura da área documenta como fenômeno esperado. É bem verdade que no caso concreto, houve quebra contínua de covenants contratuais, corroborando a hipótese apresentada por SILVA (2008) de que o baixo custo de violação de covenants contribua para tal situação. Alternativamente, uma possível explicação para a escolha contábil da companhia reside na complexidade da IAS 32 (PT CPC 39) e desconhecimento de suas nuances. / Hybrid financial instruments and/or compounds has been a constant theme regarding accounting regulation. The positive literature presents a hypothesis that help to understand why some companies appeal to said instruments to raise funds: Indebtedness level on the breach limit of contractual covenants. In Brazil, companies with CVM register, that used these instruments, sorting them on the equity, had their quarterly statements and/or financial statements restated and/or republished by CVM resolution. The critical point of the whole discussion lies in the distinction between a liability item and an equity item. This subject is covered in the IAS 32 (PT CPC n. 39) and is present in "Discussion Paper - A review of the conceptual framework for financial reporting", issued by IASB in July 2013, having two approaches that can be used, order to simplify the distinction between an item of liabilities and equity: the narrow equity approach - NEA and the strict obligation approach - SOA. The adoption of each of these approaches have a different impact on levels of debt / leverage and the potential dilution of the shareholding. This work aims to investigate approaches to accounting classification of mandatorily convertible debentures, vis-à-vis the IAS 32 (PT CPC n. 39) and the Discussion Paper of the IASB (NEA x SOA).The methodology used is a case study of a Brazilian corporation, that in 2010 issued mandatorily convertible debentures and made a classification of these instruments deemed inappropriate by the regulator. It can be observed that the strict obligation approach is the approach that impacts least on the level of indebtedness, while the narrow equity approach is the one that have the most leverage. Evidence suggests the contractual covenants as potencial inducers of such practice, fact which is in accordance with the literature documenting the area as a phenomenon expected. It is true that in the case in, there was continuous breach of the contractual covenants, corroborating the hypothesis presented by SILVA (2008) that the low cost of violation of covenants contribute to such a situation. Alternatively, a possible explanation for the choice of the accounting company is the complexity of IAS 32 (PT CPC 39) and ignorance of its nuances.

Instrumentos financeiros híbridos e/ou compostos têm sido tema constante em matéria de regulação contábil. A literatura positiva apresenta uma hipótese que ajuda a compreender o porquê de algumas firmas recorrerem a ditos instrumentos para captar recursos: nível de endividamento no limite de quebra de covenants contratuais. No Brasil, firmas com registro na CVM, que se utilizaram desses instrumentos, classificando-os no patrimônio líquido, tiveram suas ITRs e/ou DFs reapresentadas e/ou republicadas por determinação da CVM. O ponto crítico de toda a discussão reside na distinção entre um item de passivo e um item de patrimônio líquido. Esse tema está disciplinado na IAS 32 (PT CPC n. 39) e presente no Discussion Paper - A review of the conceptual framework for financial reporting, emitido pelo IASB em julho de 2013, que apresenta duas abordagens que podem ser utilizadas, visando a simplificar a distinção entre um item de passivo e de patrimônio líquido: a narrow equity approach - NEA e a strict obligation approach - SOA. A adoção de cada uma dessas abordagens terá um impacto diferente nos níveis de endividamento/alavancagem e no potencial de diluição de participação dos acionistas. Este trabalho tem como objetivo investigar abordagens para a classificação contábil das debêntures mandatoriamente conversíveis em ações, vis-à-vis a IAS 32 (PT CPC n. 39) e o Discussion Paper do IASB (NEA x SOA). A metodologia adotada é um estudo de caso de uma companhia aberta brasileira, que em 2010 emitiu debêntures mandatoriamente conversíveis e efetuou uma classificação desses instrumentos considerada inadequada pelo órgão regulador. Observa-se que a strict obligation approach é a abordagem que impacta menos no nível de endividamento, enquanto a narrow equity approach é a que apresenta maior alavancagem. As evidências sugerem os covenants contratuais como possíveis indutores de tal prática, fato que está em linha com o que a literatura da área documenta como fenômeno esperado. É bem verdade que no caso concreto, houve quebra contínua de covenants contratuais, corroborando a hipótese apresentada por SILVA (2008) de que o baixo custo de violação de covenants contribua para tal situação. Alternativamente, uma possível explicação para a escolha contábil da companhia reside na complexidade da IAS 32 (PT CPC 39) e desconhecimento de suas nuances. / Hybrid financial instruments and/or compounds has been a constant theme regarding accounting regulation. The positive literature presents a hypothesis that help to understand why some companies appeal to said instruments to raise funds: Indebtedness level on the breach limit of contractual covenants. In Brazil, companies with CVM register, that used these instruments, sorting them on the equity, had their quarterly statements and/or financial statements restated and/or republished by CVM resolution. The critical point of the whole discussion lies in the distinction between a liability item and an equity item. This subject is covered in the IAS 32 (PT CPC n. 39) and is present in "Discussion Paper - A review of the conceptual framework for financial reporting", issued by IASB in July 2013, having two approaches that can be used, order to simplify the distinction between an item of liabilities and equity: the narrow equity approach - NEA and the strict obligation approach - SOA. The adoption of each of these approaches have a different impact on levels of debt / leverage and the potential dilution of the shareholding. This work aims to investigate approaches to accounting classification of mandatorily convertible debentures, vis-à-vis the IAS 32 (PT CPC n. 39) and the Discussion Paper of the IASB (NEA x SOA).The methodology used is a case study of a Brazilian corporation, that in 2010 issued mandatorily convertible debentures and made a classification of these instruments deemed inappropriate by the regulator. It can be observed that the strict obligation approach is the approach that impacts least on the level of indebtedness, while the narrow equity approach is the one that have the most leverage. Evidence suggests the contractual covenants as potencial inducers of such practice, fact which is in accordance with the literature documenting the area as a phenomenon expected. It is true that in the case in, there was continuous breach of the contractual covenants, corroborating the hypothesis presented by SILVA (2008) that the low cost of violation of covenants contribute to such a situation. Alternatively, a possible explanation for the choice of the accounting company is the complexity of IAS 32 (PT CPC 39) and ignorance of its nuances.

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The implementation of International Accounting Standard 32 Financial Instruments: Disclosure and Presentation (lAS 32), International Accounting Standard 39 Financial Instruments: Recognition and Measurement (lAS 39) and International Financial Reporting Standard 7 Financial Instruments: Disclosures (IFRS 7) by developing countries has been met with mixed reactions largely due to the extensive use of the fair value concept by the three accounting standards. The use of the fair value concept in developing countries has proved to be a significant challenge due to either a Jack of formal capital market systems or very thinly traded capital markets. This study investigates the obstacles to determining fair values of equity share investments, government bonds and corporate bonds, treasury bills and loan advances in Mozambique. The study was done through a combination of literature review and empirical research using a questionnaire. The trading statistics of the financial instruments on the Mozambique Stock Exchange and the prospectuses of bonds were used. The empirical research was carried out using a type of non-probability sampling technique called purposive sampling. A subcategory of purposive sampling called expert sampling was used to select the eventual sample which was composed of people with specialised knowledge on the capital market system in Mozambique. The results of the empirical research were analysed using pie charts to summarise the responses. The research concluded that the Mozambique Stock Exchange is an inactive market for financial instruments characterised by thin trading in both equity shares and bonds. The estimation of fair values evidenced by observable market transactions is therefore impossible. The absence of credit rating agencies in Mozambique presents a significant challenge in assigning credit risk and pricing financial instruments such as bonds. The research also noted that significant volatility of the main economic indicators such as treasury bills interest rates and inflation made it difficult to determine fair values of financial instruments using financial modelling techniques. Due to the above obstacles to determining fair values of certain financial instruments in Mozambique, the best alternatives are to value these financial instruments at either cost or amortised cost. / Financial Accounting / M. Com. (Accounting)

Dinamiškas tarptautinių finansų rinkų pobūdis įtakojo tai, jog imta plačiai naudoti įvairiausias finansines priemones: nuo paprastų tradicinių priemonių, tokių kaip obligacijos, iki įvairiausių formų išvestinių priemonių, tokių kaip palūkanų normų apsikeitimo sandoriai. Tiek viešojo tiek privataus sektoriaus ūkio subjektai savo veikloje naudoja įvairiausias finansines priemones, pradedant paprasčiausiomis, tokiomis kaip mokėtinos ir gautinos sumos, ir baigiant sudėtingesnėmis priemonėmis- valiutų apsikeitimo sandoriai, kuriais apsidraudžiami įsipareigojimai užsienio valiuta. Finansinių instrumentų naujovės padėjo efektyviau paskirstyti riziką tarp skolininkų ir investuotojų. Tačiau kai kurie finansiniai instrumentai gali būti susiję su sandoriais, kurie daro įtakos bendrovės atskaitomybei ir ji nebeparodo tikrosios bendrovės finansinės padėties. Taigi iškyla problema- kaip tinkamai atskleisti ir pateikti finansinius instrumentus, siekiant informuoti suinteresuotus asmenis dėl tikros bendrovės ekonominės būklės. Ženklus finansinių priemonių naudojimo augimas paskatino užsienio autorius nagrinėti finansinių instrumentų atskleidimą ir pateikimą, kai tuo tarpu Lietuvoje dar tik pradedama taikyti finansinių instrumentų pateikimo praktika. TASV išleido standartus, kaip turi būti pateikiamos finansinės priemonės, tačiau bendrovėms visgi iškyla problema: koks yra išvestinių priemonių poveikis įmonių veiklai ir kaip tam tikri išvestiniai instrumentai susiję su tam tikra rizika. Tyrimo... [toliau žr. visą tekstą] / The dynamic nature of international financial markets led the wide-ranging using of full range of financial instruments, from simple traditional instruments such as bonds, to various forms of derivatives such as interest rate swaps. Such public and such private sector entities in their activities using a wide range of financial instruments, beginning such as payables and receivables, and ending with complex instruments, foreign exchange transactions in which hedged foreign currency liabilities. Financial instruments innovation contributed more efficient allocation of risk between borrowers and investors. However, some financial instruments may involve transactions that affect the company's accounts and it don’t show the true financial position. This raises the problem-how to detect and provide the financial instruments in order to inform stakeholders of a company's economic condition. Significant financial instrument using growth led foreign authors encouraged the financial instruments disclosure and presentation, while in Lithuania is just the beginning of financial instruments practice. The IASB has released standards for financial instruments disclosure, but companies still poses problems: what is the derivatives influence to the businesses and how some certain derivatives are associated with some risk. The object of research - the financial instruments accounting. The aim – to disclose the presentation of financial instruments, which reflect the true and fair the... [to full text]

Topic of the master thesis is the Financial Instruments in Bank Accounting. The master thesis looks at bookkeeping and accounting of financial instruments in international financial reporting standards context. The main reporting standards which are discussed in the paper are: IAS 32, IAS 39, IFRS 7 and IFRS 9. In the first part, the reporting standards impact on banks as commercial subjects, legislation of bank operations, financial instruments and accounting in both a national and international context are presented. The focus of master thesis is examined in the second and third sections where financial instruments are discussed in detail and their characteristics, initial recognition, subsequent measurement and accounting are also examined. The next topic is the issue of the reclassification of financial instruments and their impairment is discussed. The forth part of the thesis examines IFRS 7. The standard has claims on the disclosure of financial instruments in both the statement of financial position and statement of comprehensive income. IFRS 7 also has claims on related areas including disclosure of credit, liquidity and market risk. The last part deals with news in the examined area where the main focus is IFRS 9.

Due to the apparent global economic conditions, at the end of 2008, the International Accounting Standards Board (IASB) issued amendments to IAS 39 Financial instruments: recognition and measurement and IFRS 7 Financial instruments: disclosures in October and November, 2008. The amendments allow banks to reclassify their non-derivative financial instruments in rare circumstances. This thesis investigates whether banks in the Nordic countries (Denmark, Finland, Norway, and Sweden) reclassify financial instruments, in their financial statements of 2008 and 2009. The result of the study shows that 47% of the sample Nordic banks reclassified financial instruments in 2008 and 12% in 2009. All banks increased their net profit as a result of reclassifying financial instruments in 2008. The return on equity (ROE) increased significantly compared to whether the banks would not had reclassified their financial instruments. Tendencies found among the sample Nordic banks are that larger and less profitable banks used the possibility to reclassify financial instruments to a greater extent. Because none of the banks made losses on their choice to reclassify in 2008, the conclusion is that the opportunity given due to the amendments are mostly used by the banks to enhance the net income and the key ratio ROE. This shows that management decisions are short-term. This also indicates that the amendments may be misused by management to enhance current profit for their own benefit. The thesis also concludes that the departure from fair-value as the valuation method for financial instruments, due to recent massive critic, is unlikely.

<p>Due to the apparent global economic conditions, at the end of 2008, the International Accounting Standards Board (IASB) issued amendments to IAS 39 <em>Financial instruments: recognition and measurement </em>and IFRS 7 <em>Financial instruments: disclosures</em> in October and November, 2008. The amendments allow banks to reclassify their non-derivative financial instruments in rare circumstances. This thesis investigates whether banks in the Nordic countries (Denmark, Finland, Norway, and Sweden) reclassify financial instruments, in their financial statements of 2008 and 2009.</p><p>The result of the study shows that 47% of the sample Nordic banks reclassified financial instruments in 2008 and 12% in 2009. All banks increased their net profit as a result of reclassifying financial instruments in 2008. The return on equity (ROE) increased significantly compared to whether the banks would not had reclassified their financial instruments. Tendencies found among the sample Nordic banks are that larger and less profitable banks used the possibility to reclassify financial instruments to a greater extent. Because none of the banks made losses on their choice to reclassify in 2008, the conclusion is that the opportunity given due to the amendments are mostly used by the banks to enhance the net income and the key ratio ROE. This shows that management decisions are short-term. This also indicates that the amendments may be misused by management to enhance current profit for their own benefit. The thesis also concludes that the departure from fair-value as the valuation method for financial instruments, due to recent massive critic, is unlikely.</p>

The implementation of International Accounting Standard 32 Financial Instruments: Disclosure and Presentation (lAS 32), International Accounting Standard 39 Financial Instruments: Recognition and Measurement (lAS 39) and International Financial Reporting Standard 7 Financial Instruments: Disclosures (IFRS 7) by developing countries has been met with mixed reactions largely due to the extensive use of the fair value concept by the three accounting standards. The use of the fair value concept in developing countries has proved to be a significant challenge due to either a Jack of formal capital market systems or very thinly traded capital markets. This study investigates the obstacles to determining fair values of equity share investments, government bonds and corporate bonds, treasury bills and loan advances in Mozambique. The study was done through a combination of literature review and empirical research using a questionnaire. The trading statistics of the financial instruments on the Mozambique Stock Exchange and the prospectuses of bonds were used. The empirical research was carried out using a type of non-probability sampling technique called purposive sampling. A subcategory of purposive sampling called expert sampling was used to select the eventual sample which was composed of people with specialised knowledge on the capital market system in Mozambique. The results of the empirical research were analysed using pie charts to summarise the responses. The research concluded that the Mozambique Stock Exchange is an inactive market for financial instruments characterised by thin trading in both equity shares and bonds. The estimation of fair values evidenced by observable market transactions is therefore impossible. The absence of credit rating agencies in Mozambique presents a significant challenge in assigning credit risk and pricing financial instruments such as bonds. The research also noted that significant volatility of the main economic indicators such as treasury bills interest rates and inflation made it difficult to determine fair values of financial instruments using financial modelling techniques. Due to the above obstacles to determining fair values of certain financial instruments in Mozambique, the best alternatives are to value these financial instruments at either cost or amortised cost. / Financial Accounting / M. Com. (Accounting)