"Trading" securities

CFA Level II
#1

For securities held for trading, is it correct that …

  • GAAP allows them to be reclassified
  • but IFRS prohibits them from being reclassified?
#2

I recall under IFRS you cannot reclassify into or out of HFT.

#3

That is correct. IFRS severely restricts movement out of held for trading (i.e. “fair value through profit and loss”)