PSAK 60

PSAK 60: INSTRUMEN KEUANGAN: PENGUNGKAPAN

PSAK TERKINI SESUAI DENGAN PROGRAM KONVERGENSI IFRS DAN PENERAPANNYA

Basar AlhueniusTim Implementasi IFRS

Bogor, 15 Nopember 2011

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OVERVIEW SINGKAT ATASPSAK 60 (R2010) DAN PSAK LAMA

o Pengaturan mengenai pengungkapan Instrumen Keuangan yang berbeda dari pengaturan sebelumnya adalah:

• Ruang Lingkup, mengatur hal‐hal yang sebelumnya belum diatur

• Menegaskan signifikansi dari instrumen keuangan

• Penjelasan lebih rinci mengenai risiko likuiditas

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RUANG LINGKUPo Untuk semua entitas dengan seluruh jenis instrumen

keuangan, kecuali:• Penyertaan dalam entitas anak, entitas asosiasi dan

ventura bersama, kecuali PSAK 4, 12, dan 15 menginjinkan menerapkan sesuai PSAK 55 (revisi 2006)

• Hak dan kewajiban imbalan kerja (PSAK 24)• Kontrak asuransi (PSAK 62)• Instrumen, kontrak dan kewajiban keuangan dari

transaksi berbasis saham (PSAK 53)• Instrumen ekuitas – puttable instrument (PSAK 50

(revisi 2010))

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SIGNIFIKANSI INSTRUMENT KEUANGAN

o Secara lebih tegas mensyaratkan entitas untuk mengungkapkan informasi yang memungkinkan pengguna laporan keuangan untuk mengevaluasi signifikansi instrumen keuangan terhadap posisi dan kinerja keuangan.

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JENIS DAN TINGKAT RISIKO YANG TIMBUL DARI INSTRUMEN KEUANGAN

Secara tegas mensyaratkan entitas untuk mengungkapkan informasi yang memungkinkan para pengguna laporan keuangan untuk mengevaluasi jenis dan tingkat risiko yang timbul dari instrumen.

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PENGUNGKAPAN KUALITATIF

o Eksposur dan timbulnya risiko

o Tujuan, kebijakan dan proses pengelolaan risiko serta metode untuk mengukur

o Perubahan atas kedua hal di atas

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PENGUNGKAPAN KUANTITATIF

o Pengungkapan Risiko Kredit yang belum disyaratkan sebelumnya:• Jumlah dan analisa umur aset keuangan

yang jatuh tempo tetapi tidak mengalami penurunan nilai

• Jumlah dan analisa dan faktor penurunan nilai

• Uraian agunan dan peningkatan perikatan kredit

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o Pengungkapan Risiko Likuiditas yang belum disyaratkan sebelumnya:1. Analisa jatuh tempo untuk non-derivatif

liabilitas keuangan2. Analisa jatuh tempo untuk derivatif

liabilitas keuangan3. Uraian pengelolaan risiko likuiditas yang

melekat pada point (1) dan (2)

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o Pengungkapan Analisa Sensitivitas yang belum disyaratkan sebelumnya• untuk setiap jenis risiko pasar, yang menunjukkan

bagaimana laba rugi dan ekuitas terpengaruh oleh perubahan pada variable risiko yang relevan

• asumsi dan metode yang digunakan dalam analisa sensitivitas

• perubahan dari asumsi dan metode yang digunakan sebelumnya, dan alasan perubahannya.

IFRS 7

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PSAK 60 (IFRS 7) WILL REPLACE THE DISCLOSURE REQUIREMENTS IN PSAK 50 (R 2006).

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Classes of Financial Instruments and Level of Disclosure

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Classes of Financial Instruments and Level of Disclosure

• Classes of financial instruments– Group financial instruments into classes that are appropriate to the nature of

the information disclosed– Sufficient information shall be provided to permit reconciliation to the line

items presented in the balance sheet– At a minimum, the classes are required to distinguish between instruments

measured at amortized cost from those measured at fair value– Classes described here are determined by the entity and are not the same as

categories of financial instruments in PSAK 55.– Level of disclosure required depends on the extent of the entity’s use of

financial instruments and its exposure to financial risks.– Classes here will be more granular than PSAK 55 categories. Eg. Loans and

Receivables is a financial instrument category that could comprise various classes like home loans, credit card lans, unsecured medium term loans etc.

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Significance of Financial Instruments for Financial Position and Performance

Disclosure Requirements

• Balance Sheet Disclosures– Carrying amounts for each of the PSAK categories

(either at face of f/s or notes to f/s)

– Reclassifications of financial instruments from fair value to amortized cost or vice versa.

– Disclosures about derecognitions, including transfers of financial assets for which derecogntion accounting is not permitted by PSAK 55 (R2006). 14


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2010 2009Financial AssetsFair value though profit or loss (FVTPL) Held for trading 900,000 950,000 Designated as FVTPL 875,000 850,000Held-to-maturity investments 700,000 775,000Loans and receivables 625,000 650,000Available-for-sale financial assets 400,000 600,000

3,500,000 3,825,000Financial LiabilitiesFair value though profit or loss (FVTPL) Held for trading 860,000 900,000 Designated as FVTPL 700,000 740,000

Financial liabilities at amortized cost (FLAC) 685,000 600,000Financial guarantee contracts 475,000 380,000

2,720,000 2,620,000

Example – Disclosure of Financial Instrument Classification & Carrying Amounts


• Special disclosures about items initially designated to be measured at fair value through profit and loss.– Applies to Loans and Receivables and financial liabilities that are designated as

FVTPL.

– Issue: gain recognized due to credit downgrade of a financial liability.

– Due to an entity’s financial difficulties, there will be an increase of credit risk– This increase in credit risk will reduce the fair value of the liability, and hence

the entity will recognize a gain– Need to separate the amount of change in fair value due to credit risk from

change due to other risks.– Also disclose difference between carrying amount and the amount

contractually required to repay at maturity

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Disclosure Requirements • Balance Sheet (cont’d)

– Information about financial assets pledged as collateral and about financial or non-financial assets held as collateral.

– Reconciliation of the allowance account for credit losses (bad debts).

– Information about compound financial instruments with multiple embedded derivatives.

– Breaches of terms of loan agreements. 17

Disclosure Requirements • Income Statement and Equity

– Items of income, expense, gains, and losses, with separate disclosure of gains and losses from each of the financial instruments categories in accordance with PSAK 55 (R2006).

– Interest income and interest expense for those financial instruments that are not measured at fair value through profit and loss.

– Fee income and expense.

– Amount of impairment losses on financial assets.

– Interest income on impaired financial assets.

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Accounting policies for financial instruments

• PSAK 60 requires disclosures of any information about scope and nature of financial instruments.

− The criteria applied in determining when to recognize a financial asset or financial liability and when to derecognize it;

− The basis of measurement applied to financial assets and financial liabilities on initial recognition and subsequently;

− The basis on which income and expenses arising from financial assets and financial liabilities are recognized and measured.


• Information about hedge accounting.– Description of each type of hedge

– Descriptions of hedging instruments

– Nature of risks hedged

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For cash flow hedge:

The periods in which the cash flows are expected to occur, when they are expected to enter into the determination of profit or loss, and a description, if any

If a gain or loss on hedging instrument in a cash flow hedge, an entity should disclose the following:

The amount that was recognized in equity during the period.

The amount that was removed from equity and included in profit or loss for the period.

The amount that was removed from equity during the period and included in the initial measurement in a hedged highly probable forecast transaction.

For fair value hedge:

Information about the fair value changes in the hedging instrument and the hedged item.

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Example – Hedge Accounting Disclosures

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• Fair value disclosures.

– Need to be disclosed for each class of financial assets and liabilities.

– Permits comparison with carrying amount in the balance sheet.

– Not required if carrying value approximates fair value (eg short term trade receivables and payables)

– Description of how fair value was determined.

– Detailed information if fair value cannot be reliably measured.

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Example – Fair Value Disclosures of financial assets and liabilities

2010 2009

Carrying Amount Fair ValueCarrying Amount Fair Value

Financial AssetsCash and cash equivalents 1,200,000 1,200,000 1,450,000 1,450,000Short-term receivables 900,000 895,000 1,350,000 1,340,000Long-term receivables 875,000 770,000 1,150,000 1,025,000AFS investments 700,000 700,000 900,000 900,000HTM investments 650,000 525,000 875,000 800,000Derivatives 500,000 500,000 640,000 640,000Other assets 370,000 360,000 500,000 480,000

5,195,000 4,950,000 6,865,000 6,635,000Financial LiabilitiesBonds payable 2,225,000 1,850,000 2,800,000 2,150,000Long-term liabilities 1,700,000 1,450,000 2,100,000 1,790,000Deposits from customers 975,000 950,000 1,050,000 1,000,000Accrued expenses 850,000 850,000 935,000 935,000Other liabilities 600,000 580,000 824,000 817,000

6,350,000 5,680,000 7,709,000 6,692,000

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Nature and Extent of Risks arising from Financial Instruments

Disclosure – Risk Exposure (1/2)

• Qualitative Disclosures

– Risk exposures and how they arise.

– Management’s objectives, policies, and processes for managing those risks.

– Changes from the prior period.

• Quantitative Disclosures

– Summary quantitative data about exposure to each risk.

– Based on information provided to key management persons.

– Concentration of risk (geographical, industry sector, customer group). 26

Disclosure – Risk Exposure (2/2)

• Objective: Assess on and off-balance sheet Risks related to future cash flows of financial instruments:– Market Risk:

1. Currency Risk.

2. Interest rate risk (fixed rate instruments).

3. Price risk.

– Credit Risk.

– Liquidity Risk. 27

Disclosure – Market Risk • Market risk

– Components: Interest rates, foreign currency, commodity prices, other prices

– PSAK 60 (IFRS 7) requires sensitivity analysis• Can be combined if risks are interdependent • Disclose methods and assumptions to prepare analysis

– VaR (value at risk) analysis (optional)• Statistical measure of downside risk that reflects interdependencies

between risk variables.• The maximum loss that the portfolio is expected to suffer over a

specified holding period (1 or 10 days)• If one day VAR of a portfolio is $10m at the 99% confidence level,

entity will lose more than $10m in only 1 out of 100 days28

Example – Value at Risk (VaR) Analysis

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Note: Diversification of risks reduces total risk exposure.

Disclosure – Market Risk

• Fair Value interest rate risk– The risk that the fair value or future cash flows of

a financial instrument will fluctuate because of changes in market interest rates

– Arises on interest bearing financial instruments on balance sheet like loans and receivables; and

– Off balance sheet instruments, like some loan commitments.

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Example – Interest Rate Sensitivity Analysis

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Example – Swaps to Hedge CF Interest Rate Risks

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Receive floating, pay fixed: Hedge floating interest payments in rising interest rates environment.

Disclosure – Market Risk

• Foreign Currency Risks – Exposure to exchange rate fluctuations

– Disclose which foreign currencies most affected by

– Management policy to manage this risk

– Sensitivity analysis for % changes of FX rates impact to P&L

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Example – FX Forward Contracts

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Example – Foreign Currency Sensitivity Analysis

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Disclosure – Credit Risk

• Credit Risk: Risk of loss as a result of failure by client or counterparty to meet contractual obligations– Objectives, policies and processes.– Both on and off balance sheet.– Maximum amount of credit risk exposure.– Credit quality.– Significant concentrations of credit risks (ie geographical,

industry sector).– Description of collateral, other credit enhancements.– Disclose financial assets past due or impaired. 36

Example – Credit Risk Disclosure

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Disclosure – Credit Risk Management

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Disclosure – Liquidity Risk

• Liquidity risk is risk defined as the risk that an entity will encounter difficulty meeting obligations associated with financial liabilities.

– Quantitative: Analysis by maturity dates time bands.

• Amounts have to be on undiscounted basis.

• Separate Non derivative and Derivatives.

– Qualitative: Managing liquidity risk.

• What is done in stress conditions (economic crisis, rating downgrade).

• Hold deposits at Central banks to meet liquidity needs.

• Committed borrowing facilities (stand-by lines of credit).39


• Maturity Profile of Financial Assets and Financial Liabilities31 December 2010

Up to1 month

1 to 3months

3 to 12 months

1 year to 2 years

2 to 3 Years

Over3 years Total

AssetsCash and cash equivalents xxx xxx xxx xxx Xxx xxx xxxTrading assets xxx xxx xxx xxx Xxx xxx xxxLoans and advances to banks xxx xxx xxx xxx Xxx xxx xxxLoans and advances to customers -

net xxx xxx xxx xxx Xxx xxx xxxInvestment securities xxx xxx xxx xxx xxx xxx xxxOther assets - net xxx xxx xxx xxx xxx xxx xxx

xxx xxx xxx xxx xxx xxx xxx

LiabilitiesTrading liabilities xxx xxx xxx xxx xxx xxx xxxDeposits from banks xxx xxx xxx xxx xxx xxx xxxDeposits from customers xxx xxx xxx xxx xxx xxx xxxMarginal deposits xxx xxx xxx xxx xxx xxx xxxManager’s checks and demand

drafts outstanding xxx xxx xxx xxx xxx xxx xxxBills and acceptances payable

xxx xxx xxx xxx xxx xxx xxxAccrued expenses and other

liabilities xxx xxx xxx xxx xxx xxx xxxxxx xxx xxx xxx xxx xxx xxx

Net liquidity gap xxx xxx xxx xxx xxx xxx xxx

Disclosure – Price Risk

• The risk that fair value or future cash flows of a financial instrument will fluctuate because of changes in market prices (outside of those arising from interest rate risk or currency risk). – Examples: equity price, commodity price risk,

prepayment risk.

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Example: Equity Price Sensitivity Analysis

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Impairment Disclosure Requirement


• Allowance account for credit losses

- An entity shall establish a different account (e.g. allowance for impairment loss) rather than directly reducing the carrying amount of the loan.

- An entity shall present separately, impairment losses determined by individual impairment assessment and impairment losses determined by collective impairment assessment.

- An entity shall disclose a reconciliation of changes in the account in the period for each class of financial assets. 44


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2010 2009Balance at beginning of year

Individual Impairment 193,000 150,000Collective Impairment 288,000 230,000

481,000 380,000Provisions charged to operations


228,000 195,000Accounts written-off


127,000 75,000Discount unwind1


39,000 19,000Balance at end of year


543,000 481,000

1The impact of discounting inherent within the provisions balance is unwound as the time to receiving the expected recovery cash flows draws nearer.


• Significant accounting policies

- An entity shall in the summary of significant accounting policies, the measurement basis (or bases) used in preparing the financial statements and the other accounting policies used that are relevant to an understanding of the financial statements.

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Impairment Losses on Loans and Advances to CustomersThe recoverable amount of loans and advances to customers carried at amortized costs is calculated as the present value of the expected future cash flows, discounted at the instrument’s current effective interest rate. The carrying amount of the asset is reduced through the use of an allowance account and the amount of loss is recognized in the statements of income and expenses.

Individually assessed impairment allowances are made against the carrying amount of loans and advances that are identified as being impaired based on regular reviews of outstanding balances to reduce these loans and advances to their recoverable amounts. Collectively assessed impairment allowances are maintained to reduce the carrying amounts of portfolios of similar loans and advances, not specifically identified to be impaired, to their estimated recoverable amounts at the balance sheet date. 47

Transition and effective date

• Financial statements for periods beginning on or after 1 January 2012.

• Earlier application permitted; disclosure required

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PSAK 60

Documents

Transcript of PSAK 60