119, “Disclosure about Derivative Financial Instruments and Fair Value of Financial Instruments.” Specific Issues Raised by the Derivatives Proposal We share several objectives with the FASB for improving financial reporting. For example, we both support the fundamental objectives of promoting clear and understandable financial reports that increase the transparency of companies’ activities.
We also share the view that accounting and disclosure standards which faithfully represent financial condition and performance can improve investor and counterparty decisions, thus improving market discipline on banking organizations and other companies. Further, we also agree that current accounting and disclosure standards for derivatives -- as well as for other financial instruments -- should be improved.