Statement 167 Adoption IssuesStatement 167 Adoption Issues | Deloitte & Touche LLP |
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The Financial Accounting Standards Board (FASB) recently issued the FASB Statement No. 167, Amendments to FASB Interpretation No. 46(R) (Statement 167), which significantly changes the consolidation determination for variable interest entities (VIEs). Statement 167 will likely have considerable implications on the financial reporting of the asset management industry. Asset managers may be required to consolidate the funds that they sponsor, which are VIEs, because of their decision making authority over the fund’s investments and their economic interests in the fund through management fees, incentive fees, or a direct equity investment.
The publication, “Statement 167 Adoption Issues: Insights for the Asset Management Industry” is intended to highlight some of the implications and issues, which asset managers are likely to encounter as they begin to implement the new accounting requirements, including:
- What the standard means in practice
- Consolidation models
- Consideration of economic involvement
- Implications for financial statement presentation
- Example scenario of applying Statement 167
- Other implementation issues
To learn more, download the PDF below.
Statement 167 Adoption Issues
(364.90 KB)
