Kiran Parthasarathy, an instructional associate professor at Bauer College, explained how companies can improve financial transparency by balancing standardized reporting with information specific to each firm.
Parthasarathy said investors rely on disclosures to evaluate risk and compare companies. He said standardized reporting improves comparability, while firm-specific information can give important context, especially for companies with complex operations.
He said effective transparency is not about providing more information, but about providing the right information so people can make better decisions.