SASB standards are designed to be as close as possible to which type of metrics?

SASB standards are designed to be as close as possible to which type of metrics?

• A. Metrics that cannot be audited.
• B. Metrics that can be fully audited.
• C. Metrics that are possible to be fully assured by an audit; SASB aims to be as close to this as possible.
• D. Metrics that are primarily qualitative in nature.

Answer: (D)

SASB standards aim for information that investors can rely on through independent verification. They’re designed to be as close as possible to metrics that can be fully assured by an audit, giving credibility and comparability across companies. While qualitative disclosures play a role, the emphasis is on defining metrics in a way that allows measurement and external assurance. Metrics that cannot be audited or are primarily qualitative tend to offer less verifiable credibility and cross-company comparability, so they’re not the target of SASB’s approach.

SASB standards aim for information that investors can rely on through independent verification. They’re designed to be as close as possible to metrics that can be fully assured by an audit, giving credibility and comparability across companies. While qualitative disclosures play a role, the emphasis is on defining metrics in a way that allows measurement and external assurance. Metrics that cannot be audited or are primarily qualitative tend to offer less verifiable credibility and cross-company comparability, so they’re not the target of SASB’s approach.