The Impact Of Financial Instrument Standard On Securities

After the financial crisis in 2008,IAS39 has exposed many shortcomings in the measurement of financial instruments,and the International Accounting Council has made significant changes in the measurement of financial instruments.IFRS9 was born as a solution application.In 2017,the Ministry of Finance officially issued the final draft of CAS22,which revised the financial instruments standard greatly,aiming to conform to the international accounting standards.The content of CAS22 is consistent with that of IFRS9,which aims to objectively reflect the essence and value of financial instruments.In CAS22,the classification of financial instruments has been greatly adjusted,and the impairment model has changed dramatically,from the incurred loss model to the expected loss model.According to the requirements of the Ministry of finance,from January 1,2018,enterprises will complete the implementation of the new financial instrument standards by industry and batch.As an important part of China’s financial market,the securities industry,whose business involves various financial instruments in the capital market,is the key and difficult industry of the financial accounting system reform.At this stage,when the financial instruments accounting standards are changing,there is no ready-made standard scheme for enterprises to use.This paper makes an in-depth analysis of the implementation of financial instruments,which will play a reference role for the comprehensive development of financial instruments standards.The theoretical part of this paper focuses on the classification,recognition and measurement of financial accounting standards,the classification framework of financial instrument valuation,as well as the selection of credit loss,loss model and model indicators.In the case part,CITIC Securities,Haitong Securities and China Galaxy securities are selected as case companies to analyze the public data of 2018 annual report and analyze the changes and impacts of financial accounting standards on the industry.At the same time,the industry index data is usedto prove the rationality of the implementation plan of the standard conversion of Shanxi securities.Finally,the paper summarizes the impact of accounting standards conversion on securities companies,the problems faced by the conversion,and puts forward normative suggestions for the implementation of the conversion program.