SIA Submits Comments to the AICPA on a Proposal Relating to Audits of Investment Companies

The Securities Industry Association (SIA)*provides comments to the American Institute of Certified Public Accountants (AICPA) relating to the exposure draft of the proposed statement of position, Clarification of the Scope of the Audit and Accounting Guide Audits of Investment Companies and Accounting by Parent Companies and Equity Method Investors for Investments in Invested Companies (the proposed SOP). SIA seeks to provide comments on the proposed SOP along with suggestions for improvement. SIA suggests that theAccounting Standards Executive Committee (AcSEC) revise the transition guidance to state that a formerly qualifying investment should continue to be considered a qualifying investment as long as the relationship between the investment company entity and the investee has not changed.

*SIFMA is the product of a merger between the Securities Industry Association (SIA) and The Bond Market Association (TBMA) in 2006.