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The Securities Industry and Financial Markets Association (SIFMA) sent a letter to the Financial Accounting Standards Board (FASB) and the International Accounting Standards Board (IASB) urging a review of implementation timelines for FASB and IASB convergence projects.
With approximately one year remaining before the June 2011 convergence deadline established at the Pittsburgh meeting of the G-20 in September 2009, SIFMA believes the FASB and IASB should conduct a realistic assessment of which projects should be prioritized to achieve substantial convergence and whether the deadline is achievable or whether a delay is warranted.
The letter outlines SIFMA’s concerns that addressing many projects at the same time risks quality input from affected organizations, implementation requires time and investment to meet new or changed accounting standards, and divergent accounting standards established by the two Boards are counter-productive.
While emphasizing its commitment to enhanced accounting standards and to the process of convergence, particularly in this important era of regulatory reform, SIFMA urges a realistic assessment of project priorities and whether the June 2011 deadline is achievable or whether a delay is warranted. Regardless of the outcome of that assessment, SIFMA believes there should be sufficient time allotted for implementation of the final guidance.
