Information leakage of ADRs Prior to company issued guidance
| Autor: | Nikanor Volkov, Anna Agapova, Jeff Madura |
|---|---|
| Rok vydání: | 2020 |
| Předmět: |
040101 forestry
Regulatory enforcement 050208 finance business.industry Transparency (market) Corporate governance 05 social sciences Accounting 04 agricultural and veterinary sciences Economic freedom Incentive 0502 economics and business Information leakage 0401 agriculture forestry and fisheries Business Management and Accounting (miscellaneous) Business Earnings guidance Finance Selective disclosure |
| Zdroj: | Research in International Business and Finance. 54:101304 |
| ISSN: | 0275-5319 |
| DOI: | 10.1016/j.ribaf.2020.101304 |
| Popis: | We examine whether the degree of selective disclosure (as measured by information leakage prior to managerial earnings guidance) of foreign firms with ADRs is different from that of U.S. firms. We find that there is no variation of leakage before earning guidance between ADRs and U.S. firms. This result is consistent with the prediction that, despite being exempt from Regulation FD, ADRs have sufficient incentives to avoid selective disclosure even without the regulatory enforcement. In addition, we attempt to determine whether the variation in selective disclosure among the foreign firms with ADRs is conditioned on the respective home country transparency and governance standards. We find that country-specific characteristics, such as corruption perception, economic freedom and the legal system origin, explain the variation in information leakage of ADRs. |
| Databáze: | OpenAIRE |
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