Pub. 5 2015-2016 Issue 5

12 O V E R A C E N T U R Y : B U I L D I N G B E T T E R B A N K S - H E L P I N G C O L O R A D A N S R E A L I Z E D R E A M S FEATURE ARTICLE The ASU affects public and private companies, not-for-profit organizations and employee benefit plans that hold financial assets or owe financial liabilities. ANNE COUGHLAN DIRECTOR BKD New Financial Instruments Measurement & Classification Guidance Offers Relief for 2015 Financials O n January 5, 2016, the Financial Ac- counting Standards Board (FASB) issued Accounting Standards Update 2016-01, Financial Instruments—Overall (Subtopic 825-10): Recognition andMeasurement of Financial Assets andFinancial Liabilities. Most significantly for financial institutions, FASB has retained the separate models in existingU.S. generally accepted accounting principles (GAAP) for determining classification and measurement of loans and debt securities. FASB has backed away from the sweeping overhauls proposed in its 2013 exposure draft, opting instead tomake tar- geted improvements to current guidance, including: