Project Update

Investment Companies—Joint Project of the FASB and IASB

Last updated on June 7, 2013. 

(Updated sections are indicated with an asterisk *)

This project update summarizes the project activities and decisions of the IASB and the FASB (Boards). It was prepared by the staff and is for the information and convenience of their constituents.

Project Objective
*Due Process Documents
IASB Due Process Documents
*Decisions Reached at the Last Meeting
*Summary of Decisions Reached to Date
*Next Steps
Board/Other Public Meeting Dates
Background Information
Contact Information

Project Objective

The objective of this joint project is to provide comprehensive guidance for assessing whether an entity is an investment company and to provide measurement requirements for an investment company's investments.

*Due Process Documents

On June 7, 2013, the FASB completed the joint phase of the project with the issuance of Accounting Standards Update No. 2013-08, Financial Services—Investment Companies (Topic 946): Amendments to the Scope, Measurement, and Disclosure Requirements.

IASB Due Process Documents

On October 31, 2012, the IASB issued Investment Entities (Amendments to IFRS 10, IFRS 12 and IAS 27).
Investment Entities

*Decisions Reached at the Last Meeting

See meeting minutes below.

*Summary of Decisions Reached to Date

See Accounting Standards Update 2013–08.

*Next Steps 

The Board decided not to include guidance on the following issues in Accounting Standards Update 2013-08:
  1. Disclosures about investments in another investment company
  2. Accounting for real estate property investments.
Please refer to the current technical plan for information about the Board’s deliberations on those issues.

Board/Other Public Meeting Dates

Links to the minutes for each meeting are provided below.

March 13, 2013 FASB Board Meeting—Decisions about the next steps for disclosures about investments in another investment company.
January 23, 2013 FASB Board Meeting—Decisions about disclosures, transition requirements, and effective date.
December 12, 2012 FASB Board Meeting—Decisions about the next steps for real estate property investments.
September 5, 2012 FASB Board Meeting—Decision about the application of investment company guidance to mortgage real estate investment trusts
August 29, 2012 FASB Board Meeting—Decisions about consolidation of an investment company subsidiary and disclosures about investments in another investment company
August 8, 2012 FASB Board Meeting—Decision about investment companies regulated under the 1940 Act
July 16, 2012 Joint Board Meeting—Decisions about how an entity would determine whether it is an investment company
June 13, 2012 Joint Board Meeting—Decisions about the accounting by an investment company for an investment company subsidiary and the accounting by a noninvestment company parent for an investment company subsidiary
May 21, 2012 Joint Board Meeting—Decisions about the overall approach to assessing the criteria and the related implementation guidance to be an investment company
April 17, 2012 Joint Board Meeting—Summary of feedback received on the exposure drafts
March 27, 2012 Joint Roundtable Meeting (Kuala Lumpur)—Discussions about the exposure drafts
March 16, 2012 Joint Roundtable Meetings (Norwalk)—Discussions about the exposure drafts
February 29, 2012 Joint Roundtable Meeting (London)—Discussions about the exposure drafts
February 17, 2012 Joint Roundtable Meeting (Toronto)—Discussions about the exposure drafts
December 8, 2011 FASB Board Meeting—Decision to extend the comment period.
August 24, 2011 FASB Board Meeting—Decisions about rental revenue recognition.
August 10, 2011 FASB Board Meeting—Decisions about the criteria to be an investment company, changes in status, and interests in other entities.
July 13, 2011 FASB Board Meeting—Decisions about presentation, disclosures, and the comment period.
June 8, 2011 FASB Board Meeting—Decisions about interests in other entities.
October 13, 2010 FASB Board Meeting—Decisions about the criteria to be an investment company, the retention of specialized accounting, and transition.
June 1, 2010 Joint Board Meeting—Decisions about disclosures.
May 19, 2010 Joint Board Meeting—Decisions about the retention of specialized accounting.
May 4, 2010 Joint Board Meeting—Decisions about disclosures.
April 20, 2010 Joint Board Meeting—Decisions about the criteria to be an investment company, measurement, and transition.
February 17, 2010 Joint Board Meeting—Decisions about the criteria to be an investment company, measurement, and disclosures.

Background Information

The Board’s technical agenda previously included a long-term project to develop comprehensive guidance on accounting for affiliations between entities, including reconsideration of ARB No. 51, Consolidated Financial Statements. The IASB also had an active project on its agenda to reconsider its guidance in this area. In 2004, the IASB and the FASB agreed that an objective of both their projects was to develop a common, high-quality standard on consolidation policy. The Boards agreed that as part of the development of a consolidation standard, they would look to develop consistent criteria for qualifying as an investment company.

Contact Information

Upaasna Laungani
Project Manager
ulaungani@fasb.org