Measuring Intangibles and Intellectual Capital - An Emerging First Standard
Published: 1998The high stock market premiums on today's stock markets can be one of the indications of an
emerging new Knowledge Economy. The parallel development of theories and practice in Sweden
and in the US have now laid the ground for a first standard for accounting in the Knowledge
Economy, featuring three categories of Intangible Assets plus a fourth category, financial assets.
The Swedish concepts have been tested in practice in some cases by up ten years. The practical
results suggest that it is useful to measure Intangible assets and that it is possible for managers to
manage without relying primarily on the traditional financial indicators.
KE Sveiby's Comment 2018: This article is useful as a historical record and the second version of the Intangible Assets Monitor (the original three value creating flows increased to four.)