Committees : Audit
Bank Director’s Jack Milligan explains what boards and management teams should consider as they manage the bank’s balance sheet during this extraordinary time.
Annual filings from certain banks revealed glimpses of the initial rollout of critical audit matters across the financial institutions space.
As a result of the pandemic, financial institutions may find it challenging to determine whether a triggering event has occurred, resulting in the need for an impairment analysis.
How banks should account for and record the modified loans of borrowers impacted by the new coronavirus has become an increasingly urgent issue.
CECL implementation is a chance for banks to improve their risk assessment and mitigation strategies and grow business while balancing risk and return.
CECL could put pressure on bank allowances in its first full quarter, but proposed relief from Congress creates uncertainty for the standard itself.
Banks should consider whether derivatives should play a larger role in risk management, following changes in hedge accounting rules.
Bank boards need to understand a key step in the rollout and ongoing compliance for the new credit loss standard: model validation.
The requirement to create a “reasonable and supportable” future forecast has become another hurdle for community bankers as they implement CECL.
The accounting board has delayed major standards for small firms, but they will need to ensure their new effective dates.