Proxy and non-financial disclosures might be having a bigger impact than you know
Your proxy might be having a bigger impact than you know. While new disclosure requirements are driving a surge of quantitative human capital information in proxies and other annual reports (such as the new pay vs performance disclosures), there’s also a corresponding increase in risk if such disclosures are wrong. Much of the new SEC disclosure requirements must be filed (not merely furnished) to the SEC, and investors rely on these disclosures both for buy/sell decisions and inclusion in themed funds, opening the door to potential litigation. Meanwhile, the SEC’s rulemaking agenda includes even more disclosure on human capital metrics and other ESG metrics that will be subject to assurance and increasing auditor and investor scrutiny.
Join this session as we highlight trends in these disclosures, how investors are using this data, and how Controllership and cross-functional teams can improve (or worsen) these risks. Our experts will share insights on how you can enhance your disclosure processes to keep up with your peers and stay ahead of the pitfalls.
After this session, you will be able to:
Recall the breadth and scope of new proxy and annual reporting disclosures requirements
Explain how new disclosures are increasingly used in the investment process
Summarize how securities laws relate to non-financial disclosures and the risks for misstatement
Describe how small disclosure methodology decisions can yield materially different results
Highlight the role of Controllership teams in aligning teams, enhancing disclosure processes, improving efficiency, and reducing risk
While the SEC Professionals Group will host this session, non-members are welcome to attend – we encourage you to invite your colleagues and other financial reporting professionals within your network!