Dynamic materiality

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Refers to the recognition that the issues considered to be material may evolve over time. It emphasizes that there is a path for issues to become financially material over time and there are some triggers that make this process happen. It looks at materiality as a process that unfolds over time—and often very rapidly. This perspective is based on the consideration that what appears financially immaterial today can quickly prove to be business-critical tomorrow—as we’re seeing more than ever in today’s COVID-aware economic landscape.


SASB Standards: Double and Dynamic: Understanding the Changing Perspectives on Materiality