AICPA Seeks Feedback on Proposed Updates to Broker-Dealer Accounting Guide

The American Institute of Certified Public Accountants ("AICPA") requested feedback on proposed changes to AICPA's "Brokers and Dealers in Securities" Accounting Guide. The proposed changes concern the implementation of the Financial Accounting Standards Board Accounting Standards Codification Topic 326 ("Financial Instruments - Credit Losses").

The proposed changes include, among other things, a new section on "Current Expected Credit Losses (CECL)" under "Significant Accounting Policies" in the notes to consolidated financial statements (Chapter 6), and "new considerations for SEC-registered broker-dealers as they develop an accounting policy footnote related to FASB ASC Topic 326 (Chapter 5)."

AICPA's Financial Reporting Executive Committee asked interested parties to provide informal feedback by July 17, 2021.