Fair Value Option for Liabilities and Information Asymmetry – Evidence on the Recognition of Credit Risk Changes Under IFRS

2012 ◽  
Author(s):  
Felix Schneider ◽  
Duc Hung Tran
Keyword(s):  
Credit Risk ◽  
Information Asymmetry ◽  
Fair Value

The Impact of Fair Value Measurement for Bank Assets on Information Asymmetry and the Moderating Effect of Own Credit Risk Gains and Losses

2018 ◽  
Vol 93 (6) ◽  
pp. 127-147 ◽  
Author(s):  
Joana C. Fontes ◽  
Argyro Panaretou ◽  
Kenneth V. Peasnell
Keyword(s):  
Credit Risk ◽  
Information Asymmetry ◽  
Fair Value ◽  
Data Availability ◽  
Bid Ask Spread ◽  
Fair Value Measurement ◽  
Gains And Losses ◽  
Value Measurement ◽  
The Impact

ABSTRACT We examine whether the use of fair value measurement (FVM) for bank assets reduces information asymmetry among equity investors (bid-ask spread) and how this is affected by the recognition of own credit risk gains and losses (OCR). Our findings show that FVM of assets is associated with noticeably lower information asymmetry, and that this reduction is more than twice as large when banks also recognize OCR. In addition, we find that the bid-ask spread is incrementally lower for banks that provide more detailed narrative disclosures on OCR. The findings also indicate that the effects of asset FVM and OCR recognition on the bid-ask spread do not simply capture the differences in the characteristics of the banks and the quality of their information environments. Data Availability: All data are available from public sources.

Bank credit risk and structural credit models: Agency and information asymmetry perspectives

2009 ◽  
Vol 33 (8) ◽  
pp. 1520-1530 ◽  
Author(s):  
Hsien-Hsing Liao ◽  
Tsung-Kang Chen ◽  
Chia-Wu Lu
Keyword(s):  
Credit Risk ◽  
Information Asymmetry ◽  
Bank Credit

scholarly journals KEMUNGKINAN PEMILIHAN METODE NILAI WAJAR BAGI PERUSAHAAN YANG MELAPORKAN PROPERTI INVESTASI

2020 ◽  
Vol 1 (1) ◽  
pp. 21-35
Author(s):  
Sri Putri Siska Mulyanti ◽  
Yeasy Damayanti ◽  
Yunilma
Keyword(s):  
Information Asymmetry ◽  
Stock Exchange ◽  
Sample Selection ◽  
Secondary Data ◽  
Fair Value ◽  
Selection Method ◽  
Publicly Traded ◽  
Logit Regression ◽  
Low Levels ◽  
Selection Of

This study aims to examine the factors that affect the likelihood companies choose the method of fair value for investment properties. Factors in this research consisted of debt levels, the size of the company, information asymmetry and companies in the property industry (control variables).  The population of this research is company publicly traded listed on the Indonesian Stock Exchange 2010-2015 period. The sample selection using purposive sampling, the type of data used is secondary data obtained from the official website of the Stock Exchange. The hypothesis tested using a binomial logit regression models. The results of this study indicate that the level of debt significantly influence the possibility of the selection method for the fair value of investment property. This suggests that the high or low levels of debt may affect the selection of the fair value method. The size of the company, information asymmetry and companies in the property industry did not significantly affect the possibility of the selection method for the fair value of investment property. This suggests that the high or low of company size, and information asymmetry in the property industry has no impact on the possibility of the selection method for the fair value of investment property

scholarly journals Factors Affecting The Selection of Fair Value Methods for Investment Property

2021 ◽  
Vol 17 (1) ◽  
pp. 111-129
Author(s):  
Herlin Tundjung Setijaningsih ◽  
Sarwo Edy Handoyo ◽  
Novia Sundari
Keyword(s):  
Logistic Regression ◽  
Data Processing ◽  
Information Asymmetry ◽  
Stock Exchange ◽  
Fair Value ◽  
Processing Technique ◽  
Factors Affecting ◽  
Purposive Sampling ◽  
Data Processing Technique ◽  
Selection Of

The purpose of this study is to analyze the effect of leverage, profitability, information asymmetry, and the gain on the fair value difference on the selection of the fair value method for investment property by PSAK 13. The population of this study is all companies listed on the Indonesia Stock Exchange for the period 2016-2018. The sample selected by purposive sampling amounted to 53 companies. The data processing technique uses the STATA 14.2 program. Logistic regression is used to analyze the hypothesis. Findings. The results of this study indicate that leverage, profitability, and information asymmetry do not affect the selection of the fair value method for an investment property. However, the gain on fair value difference negatively affects the choice of the fair value method for an investment property.

Debt Maturity, Credit Risk, and Information Asymmetry: The Case of Municipal Bonds

2010 ◽  
Vol 45 (3) ◽  
pp. 603-626 ◽  
Author(s):  
Kenneth Daniels ◽  
Demissew Diro Ejara ◽  
Jayaraman Vijayakumar
Keyword(s):  
Credit Risk ◽  
Information Asymmetry ◽  
Debt Maturity ◽  
Municipal Bonds

Fair Value Accounting for Financial Instruments: Does It Improve the Association between Bank Leverage and Credit Risk?

2013 ◽  
Vol 88 (4) ◽  
pp. 1143-1177 ◽  
Author(s):  
Elizabeth Blankespoor ◽  
Thomas J. Linsmeier ◽  
Kathy R. Petroni ◽  
Catherine Shakespeare
Keyword(s):  
Credit Risk ◽  
Fair Value ◽  
Financial Instruments ◽  
Fair Value Accounting
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