Originally Posted by
Beagle
I must be out of date with the very latest rocket science IFRS accounting standards. It seems weird to me that just because the shares they own in another company have gone up they are reporting that as part of their realised profit for the year ? Dumb out of date crusty old suburban bean counter I am. All my training was a profit cannot be reported as such until it is real profit, i.e. realised.
This modern approach of counting profits (while something is in escrow and cannot be sold) is lost on me. IFRS16 accounting for leases another "fine" example that makes me wonder if the academic accounting boffins in Brussels or Switzerland or wherever they promulgate their latest idea's, haven't got enough to do ? Maybe its time to retire and forget about all this stupid nonsense...
Lending money unsecured to people heading into a Covid deep recession based on a whole bunch of assumptions they probably dredged up from GFC days and loaded onto a digital platform also seems like a situation where it surely begs the question, what could possibly go wrong :eek2:
Thankfully there's the old fashioned reverse equity loans that are simple to understand, have very good net interest margins and you're lending money to people that will definitely pay it back from their estate. Best part of HGH's business model by a VERY VERY long way and easily understandable !!