Hedge Accounting, Credit Losses Plans Near Finish Line (Correct)

The Financial Accounting Standards Board advanced efforts to streamline notoriously complex hedge accounting guidance and provide targeted relief from rules for forecasting losses on certain short-term credit.

The board, which sets financial reporting standards for the private sector, told its staff Wednesday to draft final updates for the two projects following public feedback it received last year. Next, board members will review and approve the staff’s final drafts for accuracy before they are released.

FASB released a plan in September to tweak some parts of hedge accounting rules to make them easier to apply.

Hedge accounting is a specialized method ...