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IFRS and Fair Representation in Banking and Insurance

¹ Finance and Accounting Department, ICN Business School, Nancy, France
² Finance and Accounting Department, ICN Business School, Nancy, France
³ Finance and Accounting Department, ICN Business School, Nancy, France
⁴ Finance and Accounting Department, ICN Business School, Nancy, France
⁵ Finance and Accounting Department, ICN Business School, Nancy, France

Theoretical Economics Letters·Volume 14 (2024)·Pages 1985–1999·Published 12 September 2024·DOI10.4236/tel.2024.145099

Abstract

International Financial Reporting Standards (IFRS) have existed since 2001 to enhance Transparency, Accountability, and Efficiency for financial markets all over the world. But while progress has been made concerning national GAAP (Generally Accepted Accounting Principles) before IFRS, it appears that the criteria of transparency were limited. In this study, the fair representation of IFRS is developed through the Transparency criteria. The results showed a rising relevance of the Fair Representation of the IFRS and the limits that mitigate it. New interrogations arose regarding the market effects of IFRS as well as access to the knowledge needed to analyze the information under IFRS.

KeywordsBankInsuranceIFRSFinancial ReportsValue RelevanceDiversityGrey Areas

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IFRS and Fair Representation in Banking and Insurance

Abstract

References (16)