Roflnadal

I thought I understood this until I looked at the CFAI Sample Exam Volume 2. The answer to question 24 states that the company is required by GIPS to present 10 years of performance since the composite has been in existence for that period. FYI, in the question, it was described that the company is currently not GIPS compliant, but would like to be GIPS compliant ASAP.

Since this is the first year it is going to claim compliance with GIPS, I don't understand why it can't just present 5 years of data. Any clarification is appreciated. Thank you.