Sustainability Body Likely to Skip Management Commentary Changes

Global sustainability and accounting standard-setters are unlikely to work together to rethink the management commentary section of annual corporate reports, an accounting board member said Tuesday.

The International Accounting Standards Board tasked an external group to advise it on new guidance for how companies can combine their commentary on financial and sustainability-related factors that are fundamental to their performance. Such commentary is included in a narrative section of annual corporate reports designed to give context for financial statements and highlight management strategy and concerns.

IASB launched a project in 2017 to update its voluntary guidance for management commentary. The accounting ...