The Relevance and Reliability of ESG Reporting

What Are the Roles of the ISSB, the SEC, and the Accounting Profession?

Craig Foltin, , DBA, CPA, and Mark Holtzblatt, , PhD, CPA

In BriefInvestors, creditors, and other users of financial information are increasingly looking beyond audited financial statements when making investment decisions. The culture in the United States and around the globe is shifting towards environmental and social issues, and reexamining how corporations are addressing these priorities. This and other non-GAAP reporting is expanding, with virtually no generally accepted guidance and little assurance. The reports are not comparable, are prepared using multiple guiding frameworks, and are generally un-audited. The accounting profession must address the relevance of these reports and the reliability of this new information.