IESBA Director Linda Biek discusses whether revisions to the International Code of Ethics for Professional AccountantsTM (including International Independence StandardsTM) (the “Code”) are necessary to address the independence of auditors when they carry out audits of Collective Investment Vehicles (CIVs) and Pension Funds (collectively referred to as “Investment Schemes” or “Schemes”).

IESBA Program and Senior Director Ken Siong discusses a recent shift in how the IESBA develops its international ethics and independence standards: the Staff Driven Model. Learn how the IESBA is moving from board-led task forces to empowered staff-led project teams, why this change aligns with global regulatory reforms, and how the model is already being piloted with promising results.

The International Ethics Standards Board for Accountants (IESBA) has released Firm Culture and Governance: Summary of Feedback from Global Roundtables, a publication that captures stakeholder perspectives from six global roundtables held earlier this year as part of the Board’s Firm Culture and Governance (FCG) project.

Held in New York, Melbourne, Brussels, and Kuala Lumpur, with virtual sessions for Africa and Latin America, the roundtables brought together 168 participants from across the global regulatory, investor, standard setting, accounting firm, professional accountancy and academic communities. Discussions centered on eight core elements of an ethical firm culture: ethical leadership, oversight and governance, provision of independent input, accountability, incentives and rewards, open discussion and challenge, continuous education and training, and transparency about ethical performance.

These roundtables formed part of the IESBA’s ongoing efforts to ensure its decision-making is informed by a balanced and broad-based representation of all relevant stakeholders, in line with its mandate to serve the public interest by setting global ethics, including independence, standards for the accounting profession. The publication of this report reflects the IESBA’s strong commitment to transparency and responsiveness to stakeholder feedback – both of which are essential to fostering trust among all parties involved in the development of the highest ethics standards for the profession.

The insights gathered through these discussions have directly contributed to the IESBA’s recent decision to remain firmly committed to taking decisive steps to address the cultural and governance dimensions within accounting firms, recognizing their critical impact on ethical behavior. These insights will also shape the IESBA’s future work, referenced in a recent IESBA communication on the topic, including:

• the development of a series of IESBA Viewpoints addressing eight key elements to a Firm Culture and Governance Framework, such as ethical leadership, accountability, and incentives and rewards;
• the preparation of a comprehensive plan, to be launched in 2026, for practical guidance and other initiatives to help firms foster an ethical culture and embed values that sustain long-term public trust in them; and
• the decision to consider, by mid-2026, the appropriate approach to developing a Firm Culture and Governance Framework, aimed at guiding firms in strengthening their ethical culture and related governance practices.

To read the publication, visit: Firm Culture & Governance - IESBA Summary of Feedback from Global Roundtables | Ethics Board
 

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About IESBA

The International Ethics Standards Board for Accountants (IESBA) is an independent global standard-setting board. The IESBA’s mission is to serve the public interest by setting high-quality, international ethics (including independence) standards as a cornerstone to ethical behavior in business and organizations, and to public trust in financial and non-financial information that is fundamental to the proper functioning and sustainability of organizations, financial markets and economies worldwide.

Along with the International Auditing and Assurance Standards Board (IAASB), the IESBA is part of the International Foundation for Ethics and Audit (IFEA). The Public Interest Oversight Board (PIOB) oversees IESBA and IAASB activities and the public interest responsiveness of the standards.

The Firm Culture and Governance: Summary of Feedback from Global Roundtables publication captures stakeholder perspectives from six global roundtables held in 2025 as part of the Board’s Firm Culture and Governance (FCG) project. 

In this eNews you will find:

•    Updates from our June meeting
•    Our plans for Q3 2025
•    Our plans to support the adoption and implementation of our standards
•    Feedback submission form for our Technology Catalog
•    Information about IFEA's Staff Fellows Program
•    Key dates for this quarter

Updates from Our June Meeting

During our June 2025 meeting, we approved:

• Narrow scope amendments to the ISQMs, ISAs and ISRE 2400 (Revised), Engagements to Review Historical Financial Statements, from our listed entity and public interest entity Track 2 project. The narrow scope amendments will be effective for periods beginning on or after December 15, 2026.
• A project proposal to revise ISRE 2410, Review of Interim Financial Information Performed by the Independent Auditor of the Entity.

We also discussed the following projects, where technology is a significant strategic driver:

• Audit Evidence and Risk Response (Project Stage: Exposure Draft Development) – We discussed selected topics related to the revision of ISA 330, The Auditor’s Responses to Assessed Risks; ISA 500, Audit Evidence; and ISA 520, Analytical Procedures. The topics discussed included defining tests of details, analytical procedures (including substantive analytical procedures), using audit evidence obtained in previous audits, accepting records and documents as genuine, and alignment with concepts of ISA 315 (Revised 2019).
• Technology Quality Management – We discussed our newly launched workstream, which will explore whether additional support is needed on how our quality management standards apply to emerging technologies. Among other matters, we discussed strategic questions designed to help shape the focus and priorities of the workstream’s information gathering activities.
• ISA 500 series (Project Stage: Information Gathering) – We discussed initial issues identified for targeted standards in the ISA 500 series.

Recordings of the meetings are available on our YouTube channel and more information on our projects can be found on the Latest on Our Projects web page.

Looking Ahead: Our Plans for Q3 2025

In addition to continuing our work on the projects highlighted above, we will also work on:

• IAASB Handbook – We expect to release an updated version of our handbook in Q3.
• Strategy and Work Plan – Together with IESBA, we will begin discussing our Strategy and Work Plan for 2028–2031. The Strategy and Work Plan for 2024–2027 is available on our website.
• ISA for LCE – We will begin the maintenance of the ISA for LCE. The standard will be updated, in a proportionate manner, to remain aligned with our projects on Fraud and Going Concern.

Supporting Adoption and Implementation

We continue to support the adoption and implementation of our standards. Therefore, we plan to publish in Q3:

• ISA 240 (Revised), The Auditor’s Responsibilities Relating to Fraud in an Audit of Financial Statements: A videos series that includes an overview video and topical videos on the changes related to risk identification and assessment, fraud or suspected fraud, and transparency in the auditor’s report. This is in addition to the Basis of Conclusions and fact sheet that were issued alongside the revised standard on July 8.
• ISA 570 (Revised 2024), Going Concern: A video with an overview of the revised standard and its key changes.
• ISSA 5000 on sustainability assurance: Illustrative assurance reports, other supplementary guidance, and a webinar series. We will also continue our outreach efforts and gather implementation questions and matters.

More information on the resources published can be found on the SUPPORT & RESOURCES section of our website. Past webinars can be found on the PAST EVENTS web page.

Technology: Submission Form for Feedback on the Catalog

As part of our Technology Position, we conducted a gap analysis to ensure our standards align with technological advancements, resulting in the Catalog of Issues and Possible Actions. The Catalog is a “living” document that will be updated at least semi-annually. We have also developed a feedback process, allowing our stakeholders to share your feedback and insights on the Catalog.

Submission Process

Feedback will be collected electronically and kept private. While submissions will not be attributed to individuals, they may be referenced in IAASB public materials. Please avoid including confidential information.

Consideration of Feedback

All feedback will be reviewed. While we will not respond to individual submissions, input will be considered collectively in setting priorities and determining the urgency and type of responses.

Share your feedback on the Catalog here.

IFEA Staff Fellows Program

The IFEA Staff Fellows Program is a unique secondment program that invites experienced professionals from around the world to temporarily join the IAASB or IESBA staff—contributing directly to international audit, assurance, and ethics standard setting. 

As a Staff Fellow, you'll: 

• Collaborate on global research, drafting, and stakeholder engagement 
• Deepen your understanding of international standards and the standard-setting process 
• Expand your global network 
• Advance your professional development 

For sponsoring organizations, the benefits are just as impactful: 

• Enhance staff expertise and leadership 
• Build stronger ties with the IAASB and IESBA 
• Support the implementation of high-quality global standards 

Applications are accepted year-round, but interviews typically take place in June–July for placements beginning in September. 

Interested? 

• Connect with your employer to discuss the opportunity and share this program flyer.
• Learn more about the Staff Fellows Program and meet current and alumni Fellows here.

Key Dates for this Quarter

Meetings 

• IAASB: September 15–18, 2025, New York, USA