(3)IAS 39 as revised in December 2003 introduced an option that permitted entities to designate irrevocably on initial recognition any financial asset or financial liability as one to be measured at fair value with gains and losses recognised in profit or loss (the full ‘Fair Value Option’). However, the European Central Bank (ECB), prudential supervisors represented in the Basel Committee as well as security regulators expressed concerns that an unrestricted fair value option might be used inappropriately, in particular for financial instruments relating to a company’s own liabilities.