FEE believes, however, that we are now in a period of diminished returns from further convergence due to the rapid increase in complexity, with hardly any additional benefit to investors that arises when seeking to eliminate increasingly smaller differences between IFRS and other standards.

 

The IASB should now change its strategy and concentrate exclusively on major improvements and simplifications in  IFRS over the medium term. To this end, it should work together with standard setting bodies from around the world, so that all stakeholders can be fully engaged and ensure that the quality of IFRS is not compromised.

 

Hans van Damme, FEE President, emphasised that “FEE believes that the G20 should urge the IASB to use all existing high quality accounting standard setting expertise from around the world, including those within FASB and EFRAG, to work together on new global solutions in those areas that really matter to investors. A joint development and parallel implementation by all stakeholders of new principles-based global standards is the best way forward to develop high quality standards and to deliver a level playing field.”

 

FEE believes that countries and markets are best served by high quality financial information and that this is best delivered by a single independent global standard setter for accounting and corporate reporting.