Other price risk and Strategic Report: Difference between pages

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imported>Doug Williamson
m (Spell out Financial Reporting Council & de-capitalise Guidance Note.)
 
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<i>Financial reporting - financial instrument disclosures</i>
''Financial reporting.''


Price risk which is neither interest rate risk, nor exchange rate risk.  
All UK companies, that are not small, are required to prepare a Strategic Report.


This is a requirement of the UK Companies Act 2006 (Strategic Report and Directors' Report Regulations) [http://www.legislation.gov.uk/ukdsi/2013/9780111540169/part/2].


IFRS 7 defines 'other price risk' - for the purposes of reporting under IFRS 7 - as the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market prices (other than those arising from interest rate risk or currency risk), whether those changes are caused by factors specific to the individual financial instrument or its issuer or by factors affecting all similar financial instruments traded in the market.
 
The Strategic Report must contain a fair and balanced analysis of:
 
a) the development and performance of the company’s business during the financial year;
 
b) the position of the company at the end of the year; and,
 
c) a description of the principal risks and uncertainties facing the company.
 
The purpose of the Strategic Report is to inform members of the company and help them assess how the directors have performed their duties.
 
 
The Strategic Report replaces the Operating and Financial Review/Business review section of the Annual Report.
 
The Strategic Report is required in addition to the Directors' Report.




==See also==
==See also==
*[[IFRS 7]]
*[[Annual report]]
*[[Fair value]]
*[[Directors report]]
 
 
==Other links==
*[https://www.frc.org.uk/Our-Work/Publications/Accounting-and-Reporting-Policy/FRC-Staff-Guidance-Note-Strategic-Report-Regulatio.aspx] Financial Report Council guidance note: The Companies Act 2006 (Strategic Report and Directors’ Report) Regulations 2013 – Key Facts


[[Category:Compliance_and_audit]]
[[Category:Accounting_and_Reporting]]
[[Category:Regulation_and_Law]]

Revision as of 12:11, 4 April 2014

Financial reporting.

All UK companies, that are not small, are required to prepare a Strategic Report.

This is a requirement of the UK Companies Act 2006 (Strategic Report and Directors' Report Regulations) [1].


The Strategic Report must contain a fair and balanced analysis of:

a) the development and performance of the company’s business during the financial year;

b) the position of the company at the end of the year; and,

c) a description of the principal risks and uncertainties facing the company.

The purpose of the Strategic Report is to inform members of the company and help them assess how the directors have performed their duties.


The Strategic Report replaces the Operating and Financial Review/Business review section of the Annual Report.

The Strategic Report is required in addition to the Directors' Report.


See also


Other links

  • [2] Financial Report Council guidance note: The Companies Act 2006 (Strategic Report and Directors’ Report) Regulations 2013 – Key Facts
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