# The Friendly Societies (Accounts and Related Provisions) Regulations 1994, Paragraph 24A: Inclusion of financial instruments at fair value


(1) Subject to sub-paragraphs (2) to (4), financial instruments, including derivative financial instruments, may be included at fair value.
(2) Sub-paragraph (1) only applies to financial instruments which constitute liabilities if –
(a) they are held as part of a trading portfolio; ...
(b) they are derivative financial instruments ; or
(c) they are financial instruments falling within sub-paragraph (3A).
(3) Unless they are financial instruments falling within sub-paragraph (3A) below, sub-paragraph (1) does not apply to –
(a) non-derivative financial instruments held to maturity;
(b) loans or receivables originated by the society and not held for trading purposes;
(c) interests in connected undertakings or joint ventures;
(d) equity instruments issued by the society;
(e) contracts for contingent consideration in a business combination; and
(f) other financial instruments with such special characteristics that the instruments, according to generally accepted accounting principles or practice, should be accounted for differently from other financial instruments.
(3A) Financial instruments which, under UK-adopted international accounting standards within the meaning of section 474(1) of the Companies Act 2006, may be included in accounts at fair value, may be so included, provided that the disclosures required by such accounting standards are made.
(4) If the fair value of a financial instrument cannot be determined reliably in accordance with paragraph 24B, sub-paragraph (1) does not apply to that financial instrument.
(5) In this paragraph “joint venture” means an undertaking, other than a connected undertaking, which a society manages jointly with one or more undertakings.

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Source: https://www.legislation.gov.uk/uksi/1994/1983/schedule/6/paragraph/24A (the official version)
Page: https://openlegislation.uk/friendly-societies-accounts-and-related-provisions-regulations-1994/schedule-6/paragraph-24A
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.