The Value-Relevance of Climate Risk Disclosures

2011 ◽  
Author(s):  
Nina T. Dorata ◽  
Joan DiSalvio
Keyword(s):  
Value Relevance ◽  
Climate Risk ◽  
Risk Disclosures

Do Risk Disclosures Relating to the Use of Financial Instruments Matter? Evidence from the Australian Metals and Mining Sector

2019 ◽  
Vol 54 (04) ◽  
pp. 1950017
Author(s):  
Kevin Huu Phat Thai ◽  
Jacqueline Birt
Keyword(s):  
Value Relevance ◽  
Individual Risk ◽  
Risk Category ◽  
Financial Instruments ◽  
Risk Disclosure ◽  
Mining Sector ◽  
Regulatory Changes ◽  
Related Risk ◽  
Risk Disclosures ◽  
Risk Reporting

This paper investigates the value relevance of risk disclosures relating to the use of financial instruments in the Australian metals and mining sector. The metals and mining sector is the largest sector in Australia by the number of companies and includes several of the world’s largest diversified resource producers. Using a manually constructed disclosure index based on AASB 7 Financial Instruments: Disclosures, we find that financial instrument-related risk disclosures provide useful information to equity investors. In terms of individual risk category, liquidity risk is shown to be the most informative risk disclosure. We contribute to a stream of the literature examining the informativeness of risk disclosures. The results of this study have implications for several stakeholders regarding the quality assessment of risk reporting. In addition, the findings are of interest to standard setters since further regulatory changes are under consideration to improve the presentation and disclosure of financial instruments.

scholarly journals The impact of board diversity and voluntary risk disclosure on financial outcomes. A case for the manufacturing industry

2020 ◽  
Vol 35 (5) ◽  
pp. 445-462
Author(s):  
Nuria Reguera-Alvarado ◽  
Francisco Bravo-Urquiza
Keyword(s):  
Boards Of Directors ◽  
Manufacturing Industry ◽  
Value Relevance ◽  
Risk Information ◽  
Future Research ◽  
Board Diversity ◽  
Content Type ◽  
Financial Outcomes ◽  
Risk Disclosures ◽  
The Impact

Purpose The purpose of this paper is to analyse how board diversity affects firm financial outcomes through the way in which this diversity helps to improve voluntary disclosures. Design/methodology/approach The partial least squares (PLS) technique is used, and a sample of the manufacturing firms listed in Standard and Poor’s 500 for 2009 is studied. In relation to board diversity, two specific characteristics are considered, namely, gender diversity and ethnic diversity. Content analysis techniques are used to measure risk disclosures. Findings The results show that there is a positive association between board diversity and firms’ financial outcomes, which is explained by disclosing risk information. Research limitations/implications The results indicate that the effect of boards of directors on firm outcoumes is influenced by the board involvement in specific strategies, thereby providing encouraging opportunities for future research. Practical implications These findings have implications both for companies, when selecting board members, and for policymakers, when establishing requirements concerning board composition. Moreover, the evidence highlights the role of disseminating risk information, which has direct implications for managers and regulators, who may better understand the value-relevance of risk disclosures. Originality/value The use of PLS technique is one of the novelties of this paper. The novelty of this approach provides fresh insights into the literature, highlighting that the effect of boards on firm outcomes may be mediated by director involvement in specific disclosure strategies.

scholarly journals Does the CDS Market Reflect Regulatory Climate Risk Disclosures?

2020 ◽  
Author(s):  
Julian Kölbel ◽  
Markus Leippold ◽  
Jordy Rillaerts ◽  
Qian Wang
Keyword(s):  
Climate Risk ◽  
Regulatory Climate ◽  
Risk Disclosures

scholarly journals Investors’ Responses on SOE’s Liquidity Risk Disclosures: Case of Indonesia

2021 ◽  
Vol 23 (1) ◽  
pp. 24-32
Author(s):  
Ira Geraldina ◽  
Hilda Rossieta ◽  
Ratna Wardhani
Keyword(s):  
Value Relevance ◽  
Stock Exchange ◽  
Panel Data Analysis ◽  
Liquidity Risk ◽  
Relevant Information ◽  
Financial Accounting ◽  
Risk Disclosure ◽  
Financial Reports ◽  
Before And After ◽  
Risk Disclosures

This study aims to examine the value relevance of liquidity risk disclosure of Indonesia listed state owned enterprises after Indonesia Statement of Financial Accounting Standard, Disclosure of Financial Instruments (Revised in 2010 and 2014). This study uses 20 Indonesia listed state owned enterprises during period of 2012-2017 or 115 firm years as final samples. Using panel data analysis, this study shows that liquidity risk disclosure is relevant information for investors in Indonesia stock exchange. Investors response differently on liquidity risk disclosure before and after the announcement windows period of financial reports. The main contribution of this is examining the value relevance of liquidity risk disclosure of Indonesia listed state owned enterprises.

DİĞER KAPSAMLI GELİR KALEMLERİ İLE İŞLETMENİN PİYASA DEĞERİ ARASINDAKİ İLİŞKİ

2014 ◽  
Vol 1 (3) ◽  
pp. 269
Author(s):  
Serhan Gürkan ◽  
Yasemin Köse
Keyword(s):  
Financial Performance ◽  
Value Relevance ◽  
Net Income ◽  
Comprehensive Income ◽  
Income Statement ◽  
Other Comprehensive Income ◽  
The Difference ◽  
Gains And Losses

Other comprehensive income is the difference between net income as in the Income Statement and comprehensive income, and represents the certain gains and losses of the enterprise not recognized in the Profit or Loss Account. Value relevance of other comprehensive income is under discussion and considering other comprehensive income items all together might be misleading for financial performance. In the view of such information, discussing the value relevance of each other comprehensive income item, judgements are made.

The Study of Value Relevance of on Foreign Currency Transaction

2017 ◽  
Vol 35 (1) ◽  
pp. 97-120
Author(s):  
Seong Il Jeon ◽  
Ki Se Lee
Keyword(s):  
Foreign Currency ◽  
Value Relevance
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