Amortized cost legal debt-opening base: New market darlings have contradictory development prospects
Source: Orient Fund Original title: New market darling-amortized cost What is the statutory debt-based amortization cost method?
In April 2017, in response to the amendments to the measurement of financial assets in accounting and accounting, the newly revised financial instrument recognition and measurement requirements adopted the “business model” and “financial contract cash flow characteristics” of financial assets held by enterprises as the basis for the classification of financial assetsBased on this, financial assets are classified into three categories, that is, financial assets measured at amortized cost, financial assets measured at fair value and whose changes are included in other comprehensive income, and financial assets measured at fair value and whose changes are recorded in current profit and loss.
Among them, Articles 13 and 14 of the Accounting Standards for Business Enterprises No. 22-Recognition and Measurement of Financial Instruments stipulates the amortized cost method as follows: Article 13 The amortized cost of a financial asset or financial liability refers to theThe result of a series of adjustments to the initial recognition amount of financial assets or financial liabilities: (1) replacing the principal that has been repaid; (2) adding or using the actual interest rate method to reset the amount between the initial recognition amount and the amount due.The accumulated amortization amount formed by the amortization of the difference; (3) replacing the impairment loss that has occurred (applicable only to financial assets).
Article 14 The actual interest rate refers to the interest rate used to discount the future cash flows of a financial asset or financial liability within the expected duration or a shorter period applicable to the current book value of the financial asset or financial liability.
The detailed definition of the so-called “amortized cost method” refers to the estimated object is listed at the purchase cost, according to the coupon rate or the agreed interest rate and taking into account the premium and discount at the time of purchase, the average amortization over its remaining period, calculated dailyIncrease income.
The more popular point is to use the purchase cost as the price, regardless of the bond’s parcel price during the period, and spread the bond portfolio’s holding income to each day.
For example, when the bond was successfully paid at maturity, a fund bought a one-year interest rate of 2 at a unit price of 100 yuan.
5% bonds and held to maturity.
When estimating this will be 2.
5% is spread equally to each day, which is (2.
5% * amount of purchase) / 365 days, so this investment income is fixed every day.
Of course, the current amortized cost method uses actual interest rates for amortization, so if you buy bonds at a discount or a premium, the calculation of daily returns will be more complicated, rather than a fixed daily value, but it can still be roughly understood as “willEarnings to maturity are spread over each day. ”
Adopting the amortized cost method can relatively reduce the fluctuation of net worth and improve the investment experience.
New favorite in the market-statutory debt-opening base for amortized costs In March this year, the first “amortized cost method to regularly open bond funds” implemented in the fund industry in accordance with new capital management regulations was officially approved and officially launched in May.As soon as the news was raised, it attracted widespread attention from many people. Some of the first approved statutory debt-opening bases that meet the new asset management regulations and corporate accounting standards—Southern Hengqing regularly opens bond funds for one year.
The emergence of amortized cost statutory debt-opening base is a major innovation made by the regulators from the perspective of product ecology of the asset management industry, the market structure of wealth management products, and support for the real economy. It adopts a regular open trading method and retains its due strategy.Is still within the framework of the existing 西安耍耍网 system and meets the basic requirements for measurement using the amortized cost method at home and abroad.
From monetary funds, short-term financial debt bases, to fixed debt bases, the amortized cost method has always attracted much attention. In most markets, the newly favored amortized cost statutory debt bases have generally maintained a moderately loose capital and medium-to-shortThere is a large amount of stable interest margin between the yield of debt and the interest rate of funds. It is believed that it will be full of controversial development prospects in the future.
Taking advantage of the trend, Oriental Excellence, Oriental Excellence, has three years of regular opening of bond-type securities investment funds (007841). Under the strict control of investment risks, this fund has closed its buy-and-hold 成都桑拿网 long-term investment strategy and invested in the remaining period (or resale period).Fixed-income instruments that do not exceed the remaining closing period of the fund strive to achieve a long-term and stable appreciation of fund assets.
Orient Excellence uses the “amortized cost method” to make estimates. The bond price fluctuations caused by changes in market interest rates are not reflected in the fund’s daily net value changes. Investors do not need to pay attention to the net value fluctuations caused by the bond price changes held by the fund every day.
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Market is risky, fund investment needs to be cautious[here comes from WeChat public account “Oriental Fund”]