Public companies continue to increase the overall level of audit committee disclosures in proxy statements despite stagnation in some areas. The most dramatic increase for the second year in a row was in disclosure of audit committee responsibility for cybersecurity risk oversight, according to the latest annual report jointly issued by the Center for Audit Quality (CAQ) and Audit Analytics.
In its eighth year, the 2021 Audit Committee Transparency Barometer tracked proxy disclosures among the S&P 1500 related to audit committee oversight of auditors and audit-related matters. This year’s report covered proxy disclosures filed from July 1, 2020, through June 30, 2021. The CAQ and Audit Analytics cited specific examples of effective disclosures in each area assessed to assist other audit committees in their future disclosures.
