“The Financial Accounting Standards Board (FASB) and the International Accounting Standards Board (IASB) are considering how best to improve and simplify standards for financial reporting of financial instruments, and, at the same time, provide users with clearer and more complete information. This Invitation to Comment is being issued as part of that effort…The exposure draft Hedge Accounting is the third phase of the International Accounting Standards Board’s project to replace IAS 39 Financial Instruments: Recognition and Measurement…The IASB has published this exposure draft to propose significant changes to the general hedge accounting requirements in IAS 39 in order to provide more useful hedge accounting information. Many users and preparers of financial statements describe hedge accounting today as complex and criticise it for not reflecting an entity’s risk management activities nor to what extent those activities are successful in meeting the entity’s risk management objectives.”