BC1 This Basis for Conclusions summarises the International Accounting Standards Board’s considerations in reaching its conclusions on amending IAS 28 Investments in Associates in 2011. Individual Board members gave greater weight to some factors than to others.

BC2 The amendment of IAS 28 resulted from the Board’s project on joint ventures. When discussing that project, the Board decided to incorporate the accounting for joint ventures into IAS 28 because the equity method is applicable to both joint ventures and associates.

BC3 As a result, the title of IAS 28 was changed to Investments in Associates and Joint Ventures. Because the Board’s intention was not to reconsider the fundamental approach to the accounting for investments in associates established by IAS 28, the Board has incorporated into its Basis for Conclusions on IAS 28 material from the Basis for Conclusions on IAS 28 (as revised in 2003) that the Board has not reconsidered.