Rapid deployment team accelerates Asset Encumbrance filing in XBRL for large international investment bank
February 19, 2015 09:23 by Andrea Whitehouse
Asset Encumbrance (AE) reporting seems to have taken a few financial firms by surprise. It is one of the quarterly XBRL reports that must be submitted by all organisations reporting under the CRD IV COREP mandate, and must be filed in XBRL format.
With less than a week to go to the first Asset Encumbrance reporting deadline on 12th February, a large international investment bank requested help from CoreFiling to file their first AE report in due time. Our True North® XBRL processor immediately came to the rescue.
We deployed True North on the client’s site and provided XBRL expertise to help convert the firm’s data into XBRL documents ready for filing. True North benefits from a number of specialist connectors to make integration with existing systems very easy. In the case of the investment firm, we used the Excel forms connector to create a familiar Excel environment, producing the required templates underpinned by the CRD IV taxonomy. The templates were quickly populated and the XBRL reports created. True North’s inbuilt validation provided stringent checking of the XBRL document against the filing rules implemented at the GABRIEL submission portal.
The XBRL report was produced quickly and easily; it was accepted at the gateway at the first attempt, well in advance of the filing deadline, avoiding the need for costly re-work. Deploying True North in-house meant that sensitive data could remain securely held within the firm, in contrast to other solutions that rely on outsourcing or data hosting outside the UK. True North is offered as enterprise-strength COTS (Commercial off the Shelf) software, minimising deployment time. It provides extremely powerful XBRL processing and validation, ensuring compliance against not only the XBRL specification, but also XII Formula rules and the specified European filing rules.
The firm’s Head of Finance & Cross Business IT commented:
“We are extremely happy with the speed and in-depth expertise CoreFiling have displayed in a short amount of time. We successfully submitted our reports first time with no rejections. We were very impressed by the XBRL capabilities of CoreFiling products and hope to work together again.”
Minimum tagging disappears with the arrival of the new FRS taxonomies
February 4, 2015 12:37 by Andrea Whitehouse
Since the introduction of HMRC’s iXBRL mandate in April 2011, the subject of minimum tagging has been the subject of considerable debate.
Back in early 2013 at the end of the so-called HMRC ‘soft landing’ period it was widely reported that HMRC’s published minimum tagging list, introduced alongside the April 2011 iXBRL mandate, would be abandoned in favour of full tagging of the accounts documents that accompany the CT600 form and computations. Many breathed a huge sigh of relief when that proved not to be the case.
Under UK GAAP and minimum tagging it was possible to tag using only a small subset of the full taxonomy, which, if done correctly, would allow the document to be accepted at the Government Gateway.
2015: FRS 101/102 in, minimum tagging out
Now, at the start of 2015, the demise of minimum tagging is finally happening and filers and their professional advisers need to have software in place to cope efficiently with the new comprehensive tagging demands.
UK GAAP is about to be superseded by the new FRS 101 and 102 taxonomies, which will not include a provision for minimum tagging. This is clarified in a recent document* issued by HMRC:
“XBRL has now been in place for a number of years and with the arrival of easier to use taxonomies, further development of software packages, and new consumers of XBRL, limited tagging is no longer desirable.”
Applicable to accounts issued for reporting periods beginning on or after 1st January 2015, the FRS taxonomies will have to be used by all but the smallest companies (i.e. those with less than £6.5M turnover will continue to use FRSSE, the Financial Reporting Standard for Smaller Entities).
How will your current software or outsourcer cope?
FRS 101 and 102 are semantically different from UK GAAP, therefore conventional remapping from one taxonomy to the other is not possible. Consequently, some existing systems will find it hard to handle the transition in a straightforward manner. Seahorse on the other hand will help you through the initial tagging process.
Seahorse® simplifies full accounts tagging
From the very beginning of the iXBRL mandate, Seahorse has offered either minimum or full tagging of Word and Excel documents. There are lots of inbuilt ways in which the software can take the pain out of full tagging, minimising the time taken to apply the full set of tags and generate the iXBRL report.
The power of the learning engine
Seahorse makes it easy to choose the right tag. Principally, the inbuilt learning engine automatically presents you with viable tag options, together with a confidence rating derived from the number of times each tag has been chosen for that particular concept by the community of accounting professionals now using Seahorse to convert their documents. With the arrival of FRS 101 and 102, Seahorse’s learning engine has already been taught about the new taxonomies.
Take a look at how Seahorse makes full accounts tagging easy. The introduction of the new FRS taxonomies and the removal of minimum tagging should hold no fears for Seahorse users.
Asset Encumbrance – how ready are you?
January 28, 2015 14:05 by Andrea Whitehouse
There’s not much time left to organise your Asset Encumbrance reporting. The first reference date is 31st December, 2014, with a reporting deadline of 11th February, 2015. All firms subject to COREP reporting under the CRD IV mandate will have to submit an Asset Encumbrance report and, in common with all COREP disclosures, the new Asset Encumbrance report must be submitted as an XBRL document.
The EBA defines Asset Encumbrance as follows: “An asset shall be treated as encumbered if it has been pledged or if it is subject to any form of arrangement to secure, collateralise or credit enhance any transaction from which it cannot be freely withdrawn”. Therefore, the number of templates required will depend upon the size and nature of the reporting entity, but at least one template must be filed on a quarterly basis.
The good news is that CoreFiling’s cloud-based Seahorse® XBRL disclosure management product already contains all the required templates, reducing the stress for firms that now find they have to submit these new filings.
UK Open Data gains momentum
December 23, 2014 10:27 by Andrea Whitehouse
In a significant move that will take UK open data to another level, Companies House, the UK Business Register, is planning to make available its entire digital data, free of charge, starting second quarter 2015. Once this service goes live, it will give the public access to the digital records of over 3 million companies.
Underlining further the growing importance of open data, the topic will take centre stage during the UK Government’s annual ICT Conference taking place on 13th January at the QE2 conference centre in London.
During his opening Keynote Address, Liam Maxwell, Chief Technology Officer for HM Government, will highlight the £1.5million funding being allocated to the opening up of public data and the move towards rapid digitisation of government transactions and services. By promoting digitisation, the UK Government aims to deliver more efficient public services and increased transparency, providing access to a wealth of information currently locked away in UK government databases.
CoreFiling open data seminar
Later in the day, CoreFiling will host a seminar picking up the open data theme, with contributions from Companies House, XBRL Inc. and XBRL UK. The programme will include an exploration of the Companies House accounts data service, an introduction to the increasingly important XBRL standard (with a particular focus on Inline XBRL), and the ways in which the data can be exploited to gain insights into UK businesses as a whole, into particular business sectors or into businesses within a local area.
Illustrating how accessible the iXBRL data can be, CoreFiling provides a free search and query service giving access to over 2 million company accounts in iXBRL format. Take a look at the CoreFiling service.
‘Roll forward’ to 2015 with Seahorse iXBRL accounts filing
December 22, 2014 16:42 by Andrea Whitehouse
Customers often tell us that one of the most useful and time-saving aspects of our Seahorse® iXBRL conversion software is the ability to take an existing iXBRL filing and re-use it as the basis for another year’s filing, the so-called ‘roll-forward’ effect.
That’s really helpful to existing users, but what about new customers who have previously tagged accounts using a different system?
The latest release of Seahorse solves that problem very simply. Seahorse will now accept the import of any valid iXBRL document and create a read-only filing. This filing can then be re-used as the basis for any future filing as it retains all the previously tagged information, so the tagging decisions already made using your previous system will be applied against the new return in Seahorse.
So, if you’ve been struggling with your current iXBRL tagging tool, look no further for a compelling, easy to use alternative.
Add Seahorse to your list of 2015 New Year resolutions.
Bulk XBRL data conversion without the pain
November 18, 2014 12:09 by Andrea Whitehouse
Rapid production of high quality XBRL filings has been promised for a long time but, until now, rarely delivered. As many financial institutions have discovered, creating fully compliant XBRL disclosures based on vast amounts of source data takes time and expense. CoreFiling’s Seahorse® now provides a new, simpler way to tackle the problem.
Our new approach avoids manual population of Excel templates. In particular, it will help organisations that have to extract large amounts of data from BI systems, data warehouses or other operational data stores. The solution is now also available in Seahorse, our well proven cloud-based XBRL conversion solution.
Streamlined XBRL conversion
Taking advantage of our unique option to use the CSV file format, Seahorse now handles the output from existing data stores to create fully validated XBRL reports. No matter which BI or data warehouse system you are using, Seahorse can help smooth the XBRL data conversion and validation process. Once the large amounts of information required for the individual disclosures are collated from within the internal data stores, they can also be processed using Seahorse.
Lowering the burden of large volumes of data
Tight deadlines, more frequent reporting and massively increased data volumes all add to the pressures you now face in order to maintain regulatory compliance. Any XBRL conversion system needs to be robust enough to handle the additional throughput, as speed and quality of service are paramount.
Seahorse uniquely converts data originating in a CSV file into the XBRL format. CSV is a widely used, universally supported, and extremely simple file format. So, by taking the source data and performing a little basic coding and mapping, or by using your favourite ETL (Extract, Transform & Load) tool, you can transform large amounts of reporting data into a CSV file very easily. Seahorse then takes the CSV output and provides seamless conversion into valid XBRL format, saving much time, effort and conversion cost. And, because it is built upon the stringent validation offered by True North®, you can rely on the production of quality filings.
Seahorse offers a welcome level of confidence that the XBRL conversion process will still perform well while lowering the burden of managing a much larger number of data points as required by your regulator.
Bulk data conversion with cloud-based benefits
This latest release complements Seahorse’s existing ability to convert Excel templates into XBRL documents, by now providing an automated way to turn the bulk data residing in your traditional financial data stores into fully validated XBRL disclosures, while still delivering the full benefits of a cloud-based solution.
With Seahorse to support you, there should be no fears about meeting your impending FINREP filing obligations.
Further XBRL-related musings from the UNCTAD/ISAR event
November 3, 2014 10:35 by Andrea Whitehouse
As already reported, my colleague Ian Hicks recently attended the UNCTAD/ISAR workshop in Geneva. Here’s some further insight into the XBRL-related themes developed during the meeting.
The Intergovernmental Working Group of Experts on International Standards of Accounting and Reporting (ISAR), serviced by UNCTAD, is the only intergovernmental working group devoted to corporate transparency and accounting issues. ISAR aims to improve the global comparability and reliability of corporate reports.
Sustainability reporting and XBRL
The main theme of the workshop was to understand how reporting of sustainable development actions will affect future corporate reporting. Sustainability reporting is increasingly demanded by investors, policy makers and the public. In some countries companies are already expected to account for the environmental impact of their business in their financial modelling and reporting.
Where businesses report against some form of structured framework (e.g. Global Reporting Initiative, Sustainability Accounting Standards Board) there is significant potential to use XBRL in the creation of the reporting framework. By extension, this could also be used for data validation and downstream analysis.
Many of the benefits derived from well implemented XBRL projects mirror the objectives outlined for sustainability reporting:
– Data accuracy and reliability
– Digital platform: supporting both human- and machine-readable documents
– Downstream analysis
Many government and regulatory agencies are now collecting financial and statistical information in XBRL format, so the opportunity exists to re-use that data for sustainability reporting purposes.
Forecasting and comparability
Interestingly, however, whilst financial corporate reporting is predominantly backward-looking, sustainability reporting will force businesses to forecast. This may present opportunities for XBRL to compare what companies say about their sustainability behaviour with their reported financial outcomes a year or so downstream. For instance, Company A mentions in its sustainability reports: “we are a non-polluting company with a fully-inclusive HR strategy”. Yet in the following year’s financial report Company A discloses provisions for clean-up operations and pay-outs to employees as a result of discrimination cases. Clearly there are discrepancies, which would become even more obvious if data were compared electronically using XBRL.
Some government agencies are already mandating sustainability reporting, for example the UK’s Carbon Disclosure; South Africa’s sustainability reports for companies listed on Johannesburg Stock Exchange; France’s Grenelle II law requiring investors and fund managers to disclose environmental, social and governance criteria. Big 4 accountancy firms are now offering sustainability and integrated reporting advice and support. Consequently, opportunities exist to provide products to support the creation, validation, analysis and downstream audit of financial and non-financial reports.
The XBRL market challenge
The challenge to the XBRL market is to provide products and services that support the decision-making processes of investors and regulators.
The investor community will be asking:
– Does this company create long term value?
– Is this company ahead of, level with, or behind its competitors in creating and sustaining long term value?
Regulators will be asking:
– Is this a company that meets its environmental commitments both locally and internationally?
– How closely does its financial reporting correspond to its sustainability commitments?
The opportunity to collect, validate, compare and analyse source data as part of the sustainability agenda will help to answer their fundamental questions. XBRL is the obvious enabling technology as the sustainability programme gathers momentum.
Will XBRL help UNCTAD fulfil plans to adopt corporate reporting as part of the sustainability development agenda?
October 16, 2014 10:52 by Andrea Whitehouse
My colleague Ian Hicks was in Geneva this week speaking at the ISAR (International Standards of Accounting and Reporting) workshop during the UNCTAD World Investment Forum. The workshop debated current challenges in corporate reporting and how these might be addressed in the context of enterprise economic activities, as well as areas such as corporate social responsibility, environment protection, and corporate governance.
During a session highlighting major trends and initiatives in corporate reporting models, Ian, in his capacity as Chair of the XBRL Inc. Best Practices Board (BPB), offered his perspective on how XBRL supports corporate financial and non-financial reporting and how this might benefit the monitoring and analysis of sustainable development as part of the UNCTAD agenda.
The conference brought together leading experts from, amongst others, the world of accountancy and reporting, policy making, regulatory affairs, and academia, as well as investors and report preparers. Representatives came from as far afield as Nigeria and Australia to debate the issues around corporate reporting and how to ensure that fair and useful information is gathered and made available.
Under Ian’s direction the BPB has recently published a Taxonomy Architecture Guide as part of XII’s community outreach and its remit to collect, compile and develop implementation guidance material. This practical experience informed Ian’s remarks during the workshop.
In planning to adopt corporate reporting as part of the sustainability development agenda, UNCTAD might do worse than consider implementing XBRL to help with transparency and global comparability of information.
Not just a COTS product company… CoreFiling offer integration expertise to assist the wider XBRL community
July 28, 2014 10:57 by Andrea Whitehouse
CoreFiling are well known as producers of excellent COTS software products for regulatory markets around the world, helping both filers and regulators to take full advantage of XBRL technology.
What is less well known perhaps is that the company has an excellent knowledge of enterprise platforms and the necessary componentry when it comes to the integration of XBRL technology into the wider organisational infrastructure, particularly other vendors’ Analytical, Business Intelligence, Data Integration or B2B Process Integration platforms. This gives CoreFiling a distinct advantage as we are able to offer:
- in-depth expertise and advice to customers and partners in the understanding of how to undertake complex integration projects
- SOA style integration into existing infrastructure
This expertise is particularly relevant today, as XBRL resources are scarce, yet XBRL is being mandated in more and more situations around the world, with mandates such as CRD IV and Solvency II taking centre stage in Europe.
We believe our expertise will appeal to organisations and partners who are struggling to find the best, most knowledgeable company to handle the thorny issue of integration, and we are always happy to discuss how we can help you to achieve a successful integration project.
CoreFiling have delivered highly successful XBRL projects with major regulators such as HMRC and Companies House in the UK, The Australian Tax Office and the Federal Accounting Standards Board in the USA. In the UK, since the start of the HMRC iXBRL mandate, there have been over 3.4 million filings – all validated using CoreFiling tools – the world’s largest XBRL project.
More details about CoreFiling’s in depth understanding of the XBRL technologies can be found on the XBRL credentials page on our website.
Open data becomes a reality
July 18, 2014 17:48 by Andrea Whitehouse
Open Data is a current hot topic. The UK government is committed to using digitisation to deliver more efficient public services. This week Companies House has announced that it will make its entire digital data available, free of charge, starting second quarter next year. In doing so, the UK will become the first country to create a truly open register of business information. See the press release.
Companies House has already said that once the service goes live, the public will have free access to the digital records of over 3 million companies.
Since December 2013 Companies House has made newly received filings available online for free download. CoreFiling have packaged these up to provide a free search and query service with access to over 2 million iXBRL company accounts.
Access the CoreFiling service.