CERTYNEX IFRS ACADEMY

On what condition may an entity measure a group of financial assets and liabilities on the basis of the price of a net position?

The group is managed on a documented net-exposure basis, management is informed on that basis and each item is measured at fair value at the reporting date.

The group is presented net in the statement of financial position.

The items of the group are measured at amortised cost.

As soon as the entity wishes to simplify its measurement calculations, provided the instruments concerned are exposed to the same market risk and management does not need to be informed of it.