The changes, issued by the IFRS standard setter, the International Accounting Standards Board (IASB), are designed to clarify the requirements when accounting for investment entities and provide relief in particular circumstances.

The amendments endorsed by the European Commission, clarify the accounting treatment for investment and non-investment entities, including measuring fair value:

• which subsidiaries of an investment entity are consolidated in accordance with paragraph 32 of IFRS 10;
• the exemption from preparing consolidated financial statements for an intermediate parent of an investment entity;
• the application of the equity method by a non-investment entity investor to an investment entity investee; and
• which disclosures are required by an investment entity that measures all of its subsidiaries at fair value.

The amendments are effective for annual periods beginning on or after 1 January 2016.

It is worth noting that the amendments to IFRS 10 contain some references to IFRS 9 Financial Instruments that cannot be applied as this standard has not been adopted by the EU as yet although this is expected by the end of 2016. Any references to IFRS 9 mentioned in the EU document should be read as a reference to IAS 39 Financial Instruments: Recognition and Measurement. 

The notification in the Official Journal of the European Union: Commission Regulation (EU) No 2016/1703 of 22 September 2016 is available here 

The updated EFRAG Endorsement Status Report is available here