Ashmore plc Monitor

Ashmore plc Annual Report Year 2018
CR Monitor Issue: 
Company covered: 
Ashmore plc
Period End: 
30 June, 2018
Report issued on 18 December 2018 covered the following practice issues:
Disclosure of new key audit matter included.
Disclosure of the impact of new standards issued or amended but not yet adopted including IFRS 15 “Revenue from Contracts with Customers”, IFRS 9 “Financial Instruments” and IFRS 16 “Leases”.
Disclosure of post balance sheet acquisition.
Disclosure on rebates on management fees and performance fees as an area of critical accounting judgement and estimate.
Disclosure of valuation techniques used for calculating the fair value of Level 3 investments.

Disclosure of the impacts of IFRS 16 "Leases"

IFRS 16 “Leases” will fundamentally change accounting by lessees as it requires assets previously off balance sheet under operating lease arrangements to be brought on balance sheet as is currently the case for finance leased assets. As a result on application companies will recognise both additional assets and additional liabilities. Consequently there will also be knock on effects in the income statement as operating lease charges are replaced by a depreciation charge and a finance expense. This report analyses the financial statements of a range of companies to firstly establish whether there has been any early adoption and secondly to establish what companies are disclosing in respect of IFRS 16 and its future impacts.

Auditors' Reports

This report focuses on the contents and structure of auditors’ reports prepared under International Standard on Auditing (UK and Ireland) 700 (Revised June 2013). It considers the format in which auditors present their opinion on the financial statements and information contained elsewhere within the annual report.

Ashmore Group plc Period End 30 June 2010

Ashmore Group plc Annual Report 2010
Share of associate’s net assets lower than carrying value but impairment not recognised
UK investment manager Ashmore shows its share of an associate’s net assets as £0.6 million compared to a carrying value of £2.3 million but does not consider that this difference constitutes an impairment.

Ashmore Group plc Period End 30 June 2009

Ashmore Group plc Annual Report 2009

Only intrinsic value of options designated as cash flow hedges

UK investment manager Ashmore enters into options to hedge the currency risk of future US dollar management fee income and designates only their intrinsic value as cash flow hedges.

Ashmore Group plc Period End 30 June 2008

Ashmore Group Annual Report 2008

Controlling interest in company not consolidated
UK investment manager Ashmore does not consolidate investment where control arises but classifies interest as held for sale.