Analysis of the convergence degree between the accounting and the valuation standards concerning fair value

Purpose – The study aims to measure the fair value (FV) regulation convergence and to present its determinant factors and effects. Design/methodology/approach – An empirical approach is used based on the content analysis of the accounting and valuation referentials, and of the similarity and dissimilarity measures. Findings – The study attests the materialisation of the IASB and FASB objective regarding the FV accounting convergence and underlines certain dissimilarities concerning the guidance quality and the application extent of FV. In comparison with some theses in the literature on the quality of the fair value measurement, it states that certain measurement solutions, especially the focus on exit value and the preference for the seller's perspective, cannot cover all the situations that imply FV accounting and discriminate the users of accounts in favour of the financial statement providers. As to the relation between accounting standards and valuation standards, a smaller convergence degree was determined, namely in the case of IASB FV exposure draft. The main causes of this dissimilarity are related to the insufficient adaptation of IVS to the financial reporting requirements for measurement details and for FV disclosure. Practical implications – In addition to some recommendations for the accounting standard setters, the paper draws attention to the need to improve the collaboration between IASB and IVSC by developing a joint document regarding technical guidance. Originality/value – The study undertakes a comparative analysis of the accounting and valuation standards on fair value, based on an empirical approach, discusses the causes and suggests improvement measures for referentials including the atypical cases concerning elements of the financial statements, the market and the economies.