Resources

Hedge Accounting Update: Portfolio Layer Method

On March 28th, the FASB released ASU 2022-01, a long-awaited update to the hedge accounting guidance for the “Last of Layer” method originally outlined in 2017.

In this white paper we summarize the key takeaways of the Portfolio Layer Method, which gives institutions more flexibility in designing hedging strategies, and simplifies the accounting around breaches and asset sales.