Financial Information Globalization and Foreign Investment Decisions

2009 ◽  
Author(s):  
Dan Amiram
Keyword(s):  
Foreign Investment ◽  
Investment Decisions ◽  
Financial Information

Home Bias in Foreign Investment Decisions

2006 ◽  
Author(s):  
Qinghai Wang ◽  
Dongmin Ke ◽  
Lilian K. Ng
Keyword(s):  
Foreign Investment ◽  
Home Bias ◽  
Investment Decisions

scholarly journals How does experience change firms' foreign investment decisions to non-market events?

2021 ◽  
Vol 27 (1) ◽  
pp. 100802
Author(s):  
Chang Hoon Oh ◽  
Jiyoung Shin ◽  
Jennifer Oetzel
Keyword(s):  
Foreign Investment ◽  
Investment Decisions

scholarly journals Areas of changes in the International Integrated Reporting Framework in the context of substantial changes in the investors' approach to sustainable development issues

2020 ◽  
Vol 108 (164) ◽  
pp. 89-114
Author(s):  
Katarzyna Kobiela-Pionnier
Keyword(s):  
Sustainable Development ◽  
21St Century ◽  
Value Creation ◽  
Investment Decisions ◽  
Financial Information ◽  
Financial Capital ◽  
Integrated Reporting ◽  
Reporting Framework ◽  
International Integrated Reporting Council

The purpose of the article is to present and evaluate the current activities of the International Integrated Reporting Council to improve the International <IR> Framework, in particular the considerations con-tained in the document Integrated Thinking & Strategy. State of Play Report, as well as the proposed change in the approach to the main user of the integrated report in accordance with Topic Paper 3: Chart-ing a path forward. The context for the evaluation is the profound changes in the approach to non-financial information currently taking place among providers of financial capital. They are not only in-creasingly interested in ESG issues to make investment decisions on this basis, but they also include them in their own business activities. In the course of her argument, the author indicates that the main purpose of the IIRC's activities is the transition from monocapitalism to multi-capitalism as a new economic doctrine for the 21st century, which is to be supported by changes in the <IR> Framework and the design of an improved value creation model. The change of the main user of integrated reporting from the pro-vider of financial capital to providers of all capitals planned by IIRC seems to constitute the first element of the materialization of the concept of multi-capitalism.

scholarly journals Empirical Evidence On The Valuation Of Financial Information In France

2010 ◽  
Vol 9 (3) ◽  
Author(s):  
Melita Stephanou-Charitou ◽  
Adamos Vlittis
Keyword(s):  
Financial Analysts ◽  
Investment Decisions ◽  
Cash Flows ◽  
Financial Information ◽  
Major Research ◽  
French Firm ◽  
First Results ◽  
Financial Scandals ◽  
Credit Financing

We propose and examine empirically the role of financial information; namely, earnings and cash flows in France.  The dataset consists of more than 1,000 French firm-year observations over a ten-year period. Regression analysis is undertaken to test the major research hypotheses.  The major conclusions drawn from the empirical results are summarized as follows.  First, results indicate that both earnings and cash flows are taken into consideration by French investors in their investment decisions.  Second, given cash flows, results show that earnings are always very important to investors and financial analysts for investment purposes.  However, results reveal that investors in France place much more attention to earnings and less attention to cash flows. In summary, the evidence provided in this study supports that indeed there are substantial differences in the way investors and financial analysts perceive financial information, such as earnings and cash flows in France.  The results of this study should be of great importance to the major stakeholders, such as investors, creditors and financial analysts, especially after the latest financial scandals and collapses of giant organizations worldwide.  Furthermore, these results support that fundamental analysis plays a very important role in the capital markets and it should be taken more seriously into consideration by the stakeholders for investing, credit, financing and valuation analysis purposes.

scholarly journals Does the Order of Information Affect Investors' Investment Decisions? Experimental Investigation

2021 ◽  
Vol 22 (1) ◽  
pp. 150-172
Author(s):  
Riyadi Aprayuda ◽  
Fauzan Misra ◽  
Rayna Kartika
Keyword(s):  
Experimental Investigation ◽  
Investment Decisions ◽  
Order Effect ◽  
Financial Information ◽  
Positive Information ◽  
Web Based ◽  
Information Sequence ◽  
Belief Adjustment ◽  
Types Of Information

Research aims: This study examines the order of information’s effect according to the Belief Adjustment Model. In particular, this study investigates the effect of the direction of the order and the pattern of presenting information in making investment decisions.Design/Methodology/Approach: The research applied an experimental method with web-based instruments using a 2x2 factorial design between subjects, involving 65 investors.Research findings: The investors’ investment valuation who received negative to positive information sequence direction was higher than the investors who received positive to negative information direction. Furthermore, there was an order effect in the form of recency on investors who received a partial presentation pattern. Meanwhile, investors who received a simultaneous pattern did not show an order effect in their assessment. These findings underline that the simultaneous pattern could reduce the order effect, so that investors need to generalize the information as a whole to avoid this bias.Theoretical contribution/Originality: This study extends the investigation of investment decisions using a long sequence of information perspectives and more varied types of information (e.g., financial information, corporate governance, and industry sectoral information that has an impact on company conditions) in making investment decisions on the belief adjustment model.Practitioner/Policy implication: Companies must maintain the direction of the order and the presentation patterns when issuing company information to maintain the quality of investors' decisions and avoid the risk of volatility in company shares.Research limitation/Implication: Participants who joined this research were active investors but had not yet had a comprehensive experience.

Indonesia reforms should increase tax revenue

2018 ◽  
Keyword(s):  
Foreign Investment ◽  
Economic Cooperation ◽  
Financial Information ◽  
Regulatory Environment ◽  
Tax Revenue ◽  
Reporting Standards ◽  
Working Relationship ◽  
Content Type ◽  
Indonesian Government ◽  
Exchange Of Information

Subject Indonesia's implementation of the AEoI. Significance The Indonesian government is on track to begin the Automatic Exchange of Information (AEoI) in September, as part of reforms designed to increase tax revenue. The Organisation for Economic Cooperation and Development (OECD) has Common Reporting Standards (CRS) relating to tax and financial information that encourage member states to establish AEoI agreements with one another. Indonesia is not an OECD member but has a working relationship with it. Impacts Increased tax revenues may assist Jakarta’s push to invest in infrastructure. Tax obligations on expatriates will make it harder to recruit foreign talent in Indonesia. Jakarta will come under pressure to reform the country’s regulatory environment to attract more foreign investment.

Financial Information Globalization and Foreign Investment Decisions

2012 ◽  
Vol 11 (2) ◽  
pp. 57-81 ◽  
Author(s):  
Dan Amiram
Keyword(s):  
Financial Reporting ◽  
Foreign Investment ◽  
Investment Decisions ◽  
Accounting Standards ◽  
International Accounting ◽  
International Accounting Standards ◽  
Foreign Markets ◽  
Foreign Investors ◽  
Financial Reporting Standards ◽  
Region I

ABSTRACT This paper investigates the association between the adoption of international accounting standards and foreign investment decisions. Prior research suggests that information asymmetries between local and foreign investors and behavioral biases caused by unfamiliarity of the foreign markets contribute to investors preferring to invest in their home markets. Because one of the goals of the adoption of international accounting standards is to establish a high-quality, internationally familiar set of accounting standards, I predict that foreign investments will increase in countries that adopted International Financial Reporting Standards (IFRS) after the adoption and that this increase is driven by the familiarity of IFRS. I find that foreign equity portfolio investments (FPI) increase in countries that adopt IFRS. More importantly, I find that this relation is driven by foreign investors from countries that also use IFRS. Moreover, the effect of accounting familiarity is more pronounced when investor and investee countries share language, legal origin, culture, and region. I also find that countries with lower corruption and better investor protection experience larger increases in FPI after they adopt IFRS relative to other IFRS users. These findings are consistent with the hypothesis that familiar accounting information drives foreign investment decisions.

The financial analysis of foreign investment decisions by large UK-based companies

1996 ◽  
Vol 2 (2) ◽  
pp. 181-206 ◽  
Author(s):  
Adrian Buckley ◽  
Peter J.S. Buckley ◽  
Pascal Langevin ◽  
Ka Lun Tse
Keyword(s):  
Foreign Investment ◽  
Financial Analysis ◽  
Investment Decisions
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