Comprehensive Guide to Stock Option Valuation Using IFRS 2 (PowerPoint PPTX)

SlideKraft Studio is please to present you with a comprehensive manual / guide to undertaking stock options valuation using the IFRS 2 accounting principles.

In this document we cover areas such as –

Overview of the different types of long term incentives
Scope of IFRS 2
Impact of IFRS 2 on the reward philosophy of the organization
•  Performance Measures (Market v/s Non Market)
•  Equity Settled Award
•  Cash Settled Award
•  Share based payments with cash alternatives
Measurement Principles and factors affecting the fair value measurement of SBPs
•  Identification of the grant date
•  Vesting Period
•  Grant date share price, exercise price, expected life of the option, dividend yield, – risk free rate
•  Other elements which impact measurement
Understanding the valuation models (high level)
•  Black Scholes Model
•  Binomial Model
•  Monte Carlo Simulations Model
Treatment under IFRS 2 of commonly used Long Term Incentive Vehicles
•  ESOPs
•  SARs
•  Performance Shares
•  Performance Units
•  Restricted Stock
•  Restricted Stock Units
Impact of IFRS 2 on incentive Design
•  Changes in plans post IFRS 2
•  Use of shares v/s options
•  Incentive performance measures
Modification, cancellation and settlement of awards