Mensuração de Valor Justo

1. Mensuração de Valor Justo Hilary Eastman, IASB Staff

2. Agenda • Fair value in IFRSs • Why an exit price? • What will change? • What will stay the same? • IFRS Foundation educational material • Next steps

3. Fair value in IFRSs © 2010 IFRS Foundation. 30 Cannon Street | London EC4M 6XH | UK. www.ifrs.org

4. Fair value measurements today Requirements

5. Fair value measurements today continued Requirements

6. Fair value measurements todaycontinued Requirements

7. Fair value measurements todaycontinued Options

8. The fair value measurement project… …was initiated in 2005 to… • clarify the measurement objective • create a single source of guidance • improve and harmonise disclosures …will not… • introduce new fair values • change the measurement objective in another IFRS

9. Why an exit price? © 2010 IFRS Foundation. 30 Cannon Street | London EC4M 6XH | UK. www.ifrs.org

10. Clarify the measurement objective Current definition of fair value – lacks clarity • Is it the price to buy or to sell an asset? • What is meant by ‘settling’ a liability? • When does the exchange (or settlement) take place? • Who are the ‘knowledgeable, willing parties’? The amount for which an asset could be exchanged or a liability settled between knowledgeable, willing parties in an arm’s length transaction

11. Clarify the measurement objective continued Proposed definition of fair value • Exit price notion • A current price • Market-based view • Not a liquidation price or a forced sale The price that would be received to sellan asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date

12. Clarify the measurement objective continued • An exit price reflects expectations about future cash inflows and outflows • Exit price does not mean a liquidation value, but the price that would be paid by a market participant who will also ‘use’ the asset or fulfil the obligation • objective is to replicate a market-clearing price • objective is the same in Level 3 • What an entity intends to do with the asset or liability is not relevant in a fair value measurement

13. What will change? © 2010 IFRS Foundation. 30 Cannon Street | London EC4M 6XH | UK. www.ifrs.org

14. Differences between current guidance and new standard • Consistent exit market • Explicit reference to highest and best use of an asset • Explicit three-level fair value hierarchy • Change in bid-ask spread guidance • Explicit guidance for measuring fair value in inactive markets • Additional guidance for measuring liabilities • Some new disclosures about fair value measurements

15. The exit transaction • IFRSs are inconsistent about the market in which market participants would transact • Exit transaction takes place in the principal market • the market with the greatest volume and level of activity for the asset or liability (most liquid) • Or (if no principal market) in the most advantageous market • maximises the amount that would be received to sell the asset and minimises the amount that would be paid to transfer the liability

16. Highest and best use • Concept is implicit in IFRSs, new standard will make it explicit • Highest and best use is the use of an asset by market participants that would maximise the value of the asset • physically possible • legally permissible • financially feasible • Highest and best use is usually (but not always) the current use • Does not apply to financial instruments or liabilities

17. Fair value hierarchy:Levels 1, 2 and 3 Is there a quoted price for an identical asset or liability? (Level 1 input) Yes No Are there any observable inputs other than quoted prices for an identical asset or liability? Use the Level 1 input = Level 1 measurement Must use without adjustment Yes No Significant use of Level 2 inputs (observable inputs that are not Level 1) = Level 2 measurement Significant use of unobservable inputs = Level 3 measurement

18. Fair value when markets become inactive • IFRSs are not explicit about how to measure fair value when markets become inactive, new standard will have explicit guidance • Modeled after October 2008 Expert Advisory Panel report • Will include: • indications that market activity has declined • factors for determining transactions that are not orderly

19. Disclosures • Fair value hierarchy • Disclosure by class (aggregate/disaggregate to provide meaningful information) • Policy for transfers between levels (and Level 3 reconciliation) • Measurement uncertainty or sensitivity analysis • Level of hierarchy for items disclosed but not recognised at fair value • Difference between highest and best use and current use

20. What will stay the same? © 2010 IFRS Foundation. 30 Cannon Street | London EC4M 6XH | UK. www.ifrs.org

21. What is being carried over to the new standard? • Fair value reflects characteristics of asset or liability • Market participants vs knowledgeable, willing parties • Determination of an active market • Effect of an entity’s own credit risk • Valuation techniques (market, income, cost) • Financial instruments—offsetting of market risks • Treatment of transaction costs • Some existing disclosures are likely to remain (eg agriculture, asset impairments)

22. IFRS Foundation educational material © 2010 IFRS Foundation. 30 Cannon Street | London EC4M 6XH | UK. www.ifrs.org

23. What do we mean by ‘how to’? Knowledge about valuation Measuring fair valuefor financial reporting • Principal market • Market participants • Highest and best use • Valuation techniques • Market participant assumptions • …

24. How do you measure fair value? The asset or liability (unit of account) Valuation premise Highest and best use Exit transaction Market participant assumptions Selection of and inputs to valuation techniques Attribute value to asset or liability at unit of account level Indicated value for unit of valuation Fair value measurement Presentation and disclosure

25. Example:Selecting a valuation technique • Market approach • Market price is available Level 1 • Price is for an identical asset or liability and must be used • No adjustment is necessary or allowed • Income approach • (eg discounted cash flow) • Directly identifiable cash flows • Cost approach • (eg replacement cost) • Not income producing • No identical market price • Price needs adjustment Level 2 • Observable inputs • Rarely seen in practice • Price needs adjustment • Observable inputs • Observable inputs • Rarely seen in practice Level 3 • Price needs adjustment • Unobservable inputs • Unobservable inputs • Unobservable inputs

26. Next steps © 2010 IFRS Foundation. 30 Cannon Street | London EC4M 6XH | UK. www.ifrs.org

27. What will happen next? 27 2010 2011 Q1 2011 Final IFRS on fair value measurement Q2 2011 IFRS Foundation educational material • Oct 2010 – Jan 2011 • Joint redeliberations • Measurement uncertainty • Portfolios of financial instruments • Premiums and discounts • Third party guarantees • Scope of disclosures • Effective date and transition

28. Questions or comments? Expressions of individual views by members of the IASB and its staff are encouraged. The views expressed in this presentation are those of the presenter. Official positions of the IASB on accounting matters are determined only after extensive due process and deliberation.