For a company reporting under IFRS, if it holds less than 20% of a strategic investment and does NOT exercise significant influence on the investment, then the investment will be accounted for using the equity method.

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Under IFRS, the equity method is used when an investor has significant influence, typically indicated by holding 20% or more of the voting power. If less than 20% is held and no significant influence is exercised, the investment is usually accounted for at fair value through profit or loss or other comprehensive income.

For a Company Reporting Under IFRS, If It Holds Less