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Corporate reporting is an essential element of companies' accountability. It is how they communicate on their position and performance to stakeholders. This new FEE paper puts forward ideas for corporate reporting to evolve in a way that will keep pace with the developing economic reality and address the needs of a wider stakeholder audience.

This process of communication and accountability has consequences for a broad range of stakeholders. The ideas presented in this paper should thus be of interest to politicians and policy makers, (accounting) standard setters, regulators, enforcers, companies and their stakeholders, including investors, and of course the accountancy profession that FEE represents.

We encourage all stakeholders to provide FEE with comments on the paper, especially considering the questions in Appendix A on page 79. You can send your input via e-mail to Pantelis Pavlou (This email address is being protected from spambots. You need JavaScript enabled to view it.) until 30 June 2016.

Related events:
 FEE-IIRC joint event Corporate Reporting: Enhancing transparency and value, 6 April, Brussels
 FEE-CCAB-CFA Institute joint event Join us to debate the Future of Corporate Reporting, 16 May, London

 

Key stakeholders comment on FEE Paper The Future of Corporate reporting

“FEE’s report provides an important contribution to the ongoing debate about the future of corporate reporting. We look forward to engaging with FEE and other stakeholders around the world on this topic.”
Hans Hoogervorst, Chairman of the International Accounting Standards Board (IASB)

"Investors need high quality financial and non-financial information to assess the value creation, risk and prospects of companies. Material and reliable non-financial information is important for investors - yet  it is increasingly challenging to readily access such information. The FEE discussion paper’s emphasis on the role of technology in enhancing navigability to different information sets within the corporate reports adds a much required dimension to the multiple, ongoing initiatives that are focused on enhancing and integrating the content within corporate reports. The proposed CORE versus MORE segregation of information provides a very useful starting point and there is need to clarify and seek investor input on what ought to be CORE versus MORE."
Vincent Papa, Director of the Chartered Financial Analyst (CFA) Institute

 

"We welcome this report from FEE and its aim to provide additional momentum to the dynamics for change in corporate reporting. Reporting needs to evolve to meet the needs of 21st century business and as the paper notes we need system change on a number of fronts to ensure reporting continues to be relevant to providers of financial capital and other stakeholders. In welcoming this report, we pledge to continue playing our role, in collaboration with FEE, in utilising integrated reporting for creating a ‘fit for purpose’ reporting system for today’s market needs."
Paul Druckman, Chief Executive Officer of the International Integrated Reporting Council (IIRC)

 

"Currently change is impeded by a vicious circle: preparers and stakeholders of corporate reporting will only innovate if auditors and enforcers allow experimentation; auditors and enforcers will only allow experimentation if policy makers and standard setters alter some of the detailed requirements; and policy makers will only alter detailed requirements if preparers and stakeholders are willing to innovate. This circle limits the drive for initial change. It is time for corporate reporting constituents, including politicians, standard setters, preparers, stakeholders, enforcers, accountants and auditors to work together to break the cycle by joining the debate and collectively contribute to the way forward."
Mark Vaessen, Chairman of FEE Corporate Reporting Policy Group (CRPG)

"The momentum to change corporate reporting is obvious from the increasing public debate, the growing demand for non-financial reporting, and companies experimenting to improve their reports. Technology plays an important role in this evolution, both as a driver and an enabler for change."
Petr Kriz, FEE President

 

Related files:

FEE Cogito Paper - The Future of Corporate Reporting - creating the dynamics for change
 Press Release - FEE calls for innovation in corporate reporting