An Examination of the Impact of the Sarbanes-Oxley Act on the Attractiveness of US Capital Markets for Foreign Firms

2009 ◽  
Author(s):  
Peter Hostak ◽  
Emre Karaoglu ◽  
Thomas Z. Lys ◽  
Yong George Yang
Keyword(s):  
Capital Markets ◽  
Foreign Firms ◽  
Sarbanes Oxley ◽  
The Impact

An examination of the impact of the Sarbanes–Oxley Act on the attractiveness of U.S. capital markets for foreign firms

2013 ◽  
Vol 18 (2) ◽  
pp. 522-559 ◽  
Author(s):  
Peter Hostak ◽  
Thomas Lys ◽  
Yong George Yang ◽  
Emre Carr
Keyword(s):  
Capital Markets ◽  
Foreign Firms ◽  
Sarbanes Oxley ◽  
The Impact

scholarly journals The Impact of the Sarbanes-Oxley Act on Shareholders and Managers of Foreign Firms

2011 ◽  
Author(s):  
Jefferson Duarte ◽  
Katie Kong ◽  
Lance A. Young ◽  
Stephan Siegel
Keyword(s):  
Foreign Firms ◽  
Sarbanes Oxley ◽  
The Impact

scholarly journals The Impact of the Sarbanes–Oxley Act on Shareholders and Managers of Foreign Firms*

2013 ◽  
Vol 18 (1) ◽  
pp. 417-455 ◽  
Author(s):  
Jefferson Duarte ◽  
Katie Kong ◽  
Stephan Siegel ◽  
Lance Young
Keyword(s):  
Foreign Firms ◽  
Sarbanes Oxley ◽  
The Impact

Do Companies With Effective Internal Controls Over Financial Reporting Benefit From Sarbanes–Oxley Sections 302 and 404?

2016 ◽  
Vol 33 (2) ◽  
pp. 200-227 ◽  
Author(s):  
Parveen P. Gupta ◽  
Heibatollah Sami ◽  
Haiyan Zhou
Keyword(s):  
Information Asymmetry ◽  
Financial Reporting ◽  
Capital Markets ◽  
Internal Control ◽  
Trading Volume ◽  
Price Volatility ◽  
Sarbanes Oxley ◽  
Section 302 ◽  
The Impact ◽  
Bid Ask Spreads

Post-SOX (Sarbanes–Oxley Act) academic research on internal control focuses on the characteristics of publicly listed companies disclosing material control weaknesses or the consequences experienced by these companies. However, to date, limited research has empirically examined whether these new disclosures truly enhance “public interest” by promoting “equity” in the capital markets through enhanced information distribution. In this article, we empirically investigate the impact these disclosures have on information asymmetry and related market micro-structure. We hypothesize that both the management’s and the auditor’s reporting on internal control provide outside investors additional and higher quality information about a firm’s future prospects, thereby reducing the information asymmetry in capital markets. Such reduction in information asymmetry should be reflected in decreased bid-ask spreads and price volatility, as well as increased trading volume. Our cross-sectional analyses show that, subsequent to the management’s report on internal control per Section 302, the information environment improves for U.S. firms as manifested by decreased bid-ask spread and price volatility, and increased trading volume. However, we find no similar results subsequent to the auditors’ reporting on a company’s internal control over financial reporting. In our time-series intervention analyses, about 70% of sample firms have experienced significant and permanent reductions in their bid-ask spreads subsequent to the implementation of Section 302 of SOX, in contrast to only 30% of firms subsequent to the implementation of Section 404 of SOX. Our findings point to the public policy issue of whether financial reporting quality of public companies can be improved at a lower cost.

Executive Compensation: New vs. Old Economy and the Impact of NASDAQ Crash and Sarbanes Oxley Act

2008 ◽  
Author(s):  
João Paulo Vieito ◽  
Antonio Melo Cerqueira ◽  
Elísio Brandão ◽  
Walayet A. Khan
Keyword(s):  
Executive Compensation ◽  
Sarbanes Oxley ◽  
Old Economy ◽  
The Impact

A Study on Investment Decision of Investors With Reference to Penetration of Mutual Funds in India

2016 ◽  
Vol 5 (2) ◽  
Author(s):  
Ratish C Gupta ◽  
Dr. Manish Mittal
Keyword(s):  
Decision Making ◽  
Real Estate ◽  
Mutual Funds ◽  
Capital Markets ◽  
Mutual Fund ◽  
Financial Services ◽  
Investment Decision ◽  
Fund Industry ◽  
Mutual Fund Industry ◽  
The Impact

The Indian mutual fund industry is one of the fastest growing and most competitive segments of the financial sector. The extent of under-penetration in the market is a sore point with the financial services industry, with a large amount of savings being channelized into fixed deposits, gold and real estate rather than the capital markets. The mutual fund industry is yet to spread its reach beyond Tier I cities. The top fifteen cities contribute to 85% of the pie, with the remaining 15% distributed among other cities. The study seeks to determine the impact of decision making of investors on current situation of mutual fund industry.

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