IFRS compliance becomes major investment criteria
As many as 74% of UK finance managers would be more likely to buy stock in a company employing International Financial Reporting Standards (IFRS) than one which was not, according to research released today by Robert Half Management Resources, the world's largest financial interim and project consulting firm. This figure rises to an incredible 91% amongst Irish finance managers, but drops to 52% of French respondents. The European average stood at 65%.
The research, conducted amongst 1000 companies across Europe, also discovered that 62% of UK finance managers believe the cost of implementing IFRS still outweighs its benefits. French managers were the most enthusiastic about the implementation of IFRS with only one-third believing that the cost outweighed the benefit, compared to a high of 68% in The Netherlands.
In the UK, 70% of finance managers believe that the IASB and European Union's goal of implementing IFRS in small companies is ?unrealistic', potentially leaving Europe's small companies out in the cold and indicating a possible lack of future investment options. German finance managers were the most sceptical, with 78% citing that IFRS is unrealistic for small companies. The European average was 67%, with this figure dropping to 55% in Ireland.