Report on hybrid financial instrument disclosures

FMA reviewed the accounting classification and disclosure of financial instruments classified as hybrid instruments listed on the NZX debt market, as at 1 December 2012.

This report outlines our findings and recommendations.

In February, FMA announced that we would be performing a range of theme based monitoring projects on financial reporting. The classification and disclosure of financial instruments was one of the key themes. We consider that the financial statement disclosures around hybrid financial instruments need improvement and ask that all issuers of hybrid financial instruments reconsider all their disclosures for these instruments.

Download the Hybrid financial instrument disclosures report, PDF.