EAD for debt securities

All topics related to IFRS Standards.
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rayko13@hotmail.com
Posts: 1
Joined: 06 Jan 2021, 03:41

EAD for debt securities

Post by rayko13@hotmail.com »

When using the PDxLGDxEAD approach for impairment, what should the EAD be for debt securities?
Should it be the nominal value or some additional value - e.g. accrued interest?
thanks
DJP
Trusted Expert
Posts: 345
Joined: 26 Jun 2020, 15:57

Re: EAD for debt securities

Post by DJP »

Accrued interest should also be considered
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