Investors, however, are worried that companies could use the opportunity to blur the big losses suffered during the recent sub-prime turmoil where even safe securities were hurt by mortgage defaults
Regulators are planning to issue guidance next week to address the investor concerns over the values of instruments that companies hold, amid markets that have seized up.
The Securities and Exchange Commission is set to tell companies that while they must stick to market prices for instruments, even when these figures paint an unfavourable picture, they will also be permitted to project a wider range of possible values for those securities.
Investors, however, are worried that companies could use the opportunity to blur the big losses suffered during the recent sub-prime turmoil where even safe securities were hurt by mortgage defaults.
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