So the concept of materiality is quite fundamental to financial reporting.
The Financial Accounting Standards Board,
the International Accounting Standards Board,
basically define materiality as what matters to investors.
That's the approach that will be taken by the Sustainability Standards Board,
which I just mentioned.
But there's also a notion of materiality defined by the Global Reporting Initiative,
different from SASB (Sustainability Accounting Standards Board),
which is more like FASB (Financial Accounting Standards Board)
and the IASB (International Accounting Standards Board),
which is materiality is what matters to the world.
It's externalities that companies are creating.
The EU is using the language of single materiality for investors,
double materiality for what matters to the world.
So there's clearly a relationship
and some tension between the two through the notion of not dynamic materiality.
What may not matter to investors today could matter in the future.
It sometimes changes very quickly.
Climate change didn't always matter, now it does.
So materiality is a bedrock concept,
but it's a complicated one
and it has essentially two different meanings.