EFRAG seeks comments on its preparatory draft of the Endorsement Advice on Amendments to IAS 28
EFRAG has issued a preparatory draft of its Endorsement Advice letter and a separate invitation to comment relating to the endorsement of the Amendments to the Fair Value Option for Investments in Associates and Joint Ventures (Amendments to IAS 28) (the Amendments). Responses should be submitted to EFRAG by 17 July 2026.
The Amendments address stakeholders' concerns, particularly those in the insurance industry, regarding divergent interpretations of the term ‘similar entities’ in paragraphs 18 and 19 of IAS 28 Investments in Associates and Joint Ventures, and the resulting impact on classification under IFRS 18 Presentation and Disclosure in Financial Statements.
The preparatory draft of the Endorsement Advice letter has been published ahead of the final Amendments to facilitate the timely finalisation of the endorsement advice once the Amendments are issued by the IASB. This would enable the Amendments to be applied at the same time as IFRS 18. The preparatory draft of the Endorsement Advice is based on the IASB’s tentative decisions taken at its meeting of 20 May 2026 in response to feedback to the Exposure Draft Amendments to the Fair Value Option for Investments in Associates and Joint Ventures.
EFRAG's overall preliminary assessment is that the Amendments satisfy the criteria for endorsement for use in the EU and, therefore, it recommends their endorsement.
Share your feedback
EFRAG is seeking comments on the analysis supporting its preliminary conclusions.
Download the invitation to comment in Word or PDF and submit it to EFRAG by 17 July 2026.