Financial derivatives, from the economic point of view, are cash flows that are conditionally stochastic and discounted to present value. The market risk inherent in the underlying asset is attached to the financial derivatives through contractual agreements and hence can be traded separately....

The history of convergence can be traced to 2007 when The Institute of Chartered Accountants of India (ICAI) issued a concept paper which focused on achieving convergence with IFRS. Convergence of Indian Generally Accepted Accounting Principles (GAAP) with the International Financial Reporting...