Companies often try to protect their assets from various risks in a process known as hedging. Think of hedging as being similar to buying auto insurance. When you're out driving your car, there is a ...

Hedge documentation is important in both financial reporting and income taxation.For financial accounting purposes, on the date of the hedge, an entity must identify the hedged item, the instrument ...

For public companies with a December 31, 2018, fiscal year-end, new hedge accounting rules will become effective on January 1, 2019. The FASB issued the new hedge accounting guidance on August 28, ...

FASB issued a new standard Monday that is designed to make hedge accounting easier for financial statement preparers and easier for financial statement users to understand. According to FASB Chairman ...

The Financial Accounting Standards Board has released its long-awaited hedging standard, the final component of its financial instruments convergence project with the International Accounting ...

Currency hedging mitigates the additional volatility that exchange rates impose on foreign assets. But these currency-hedged strategies bear additional costs and can have tax implications. Our recent ...

Are there special hedging provisions for section 988 transactions? Yes. In addition to the business hedging rules I address in our earlier Q&A with Andie series,[1] a special hedging provision is ...

Basis risk refers to the potential mismatch between the value of an asset or liability and the financial instrument used to hedge or manage its risk. This divergence can result in unexpected gains or ...

Derivatives are key risk management tools that enable financial and non-financial institutions to diversify their risk portfolio and reduce earnings volatility. The insurance industry specifically ...

For treasurers operating in the foreign exchange market, the inherent challenges of FX trading are well-known. The FX market is the largest and most liquid in the world; trading currencies means ...