Scope IFRS 7 Financial instruments Disclosures High level summary |
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IFRS 7 applies to all recognised and unrecognised financial instruments (including contracts to buy or sell non-financial assets) except:
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Disclosure requirements: Significance of financial instruments in terms of the financial position and performance |
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Statement of financial position |
Statement of comprehensive income |
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Other IFRS events
Hedge accounting:
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Disclosure requirements: Nature and extent of risks arising from financial instruments and how the risks are managed |
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Qualitative disclosure
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Quantitative disclosure
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Specific quantitative disclosure requirements |
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Definition: The risk that an entity will encounter difficulty in meeting obligations associated with financial liabilities. |
Definition: The risk that one party to a financial instrument will cause a financial loss for the other party by failing to discharge an obligation. |
Definition: The risk that the fair value or future cash flows of a financial instrument will fluctuate due to changes in market prices. Market risk comprises three types of risk: currency risk, interest rate risk and other price risk. |
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or
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Fair value hierarchy |
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All financial instruments measured at fair value must be classified into the levels below (that reflect how fair value has been determined):
A financial Instrument will be categorised based on the lowest level of any one of the inputs used for its valuation. The following disclosures are also required:
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Transfer of financial assets |
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Information for transferred assets that are and that are not derecognised in their entirety:
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See also: IFRS 7 on IFRS community.
Easy understand IFRS 7 Disclosures financial instruments
IFRS 7 Financial instruments Disclosures High level summary IFRS 7 Financial instruments Disclosures High level summary IFRS 7 Financial instruments Disclosures High level summary IFRS 7 Financial instruments Disclosures High level summary IFRS 7 Financial instruments Disclosures High level summary IFRS 7 Financial instruments Disclosures High level summary IFRS 7 Financial instruments Disclosures High level summary
IFRS 7 Financial instruments Disclosures High level summary
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