How to account for purchased credit deteriorated financial assets under CECL

by Masha Muzya, Senior Director, Moody's Analytics

The current expected credit loss (CECL) model is expected to address the delayed recognition of credit losses and provide a uniform approach for reserving against losses on all financial assets measured at amortized cost. However, CECL also introduces new complexities.

Download the article to learn more about the accounting challenges faced by institutions acquiring financial assets with credit deterioration under the new CECL standard.