fair value accounting (FVA)

What is fair value accounting (FVA)?

fair value accounting (FVA) definition and meaning on Finance terms:
A valuation principle that stipulates the use of either a market price, where it exists, or an estimation of a market price as the present value of expected cash flows to establish the balance sheet value of financial instruments. <


reference: https://www.ecb.europa.eu/home/glossary/html/index.en.html