FASB Holds February 25 Meeting

At its February 25, 2026, meeting, the FASB discussed stakeholder feedback on the hedge accounting topic addressed in its January 2025 invitation to comment Agenda Consultation. The Board decided on a three-stage plan for addressing hedge accounting issues: “(a) a short-term targeted improvements project (discussed further below), (b) a medium-term project (as part of the research project on hedge accounting) to explore expanding the portfolio layer method to liabilities, and (c) a long-term project (as part of the research project on hedge accounting) to reconsider the hedge accounting model.”

At the meeting, the FASB specifically discussed the targeted-improvements project mentioned above, which concerns the hedge accounting for interest rate risk and net foreign investments.

For more information, see the tentative Board decisions on the FASB’s Web site.