IFRS Mandatory disclosures in Malaysia: the influence of family control and the value (ir)relevance of compliance levels
We examine the effect of family control on IFRS mandatory disclosure levels, and the valuation implications of these disclosure levels, for Malaysian companies. We find that family control is related negatively to disclosure and that compliance levels are not value relevant. These findings suggest t...
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| Format: | Article |
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Taylor & Francis
2015
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| _version_ | 1796947027481853952 |
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| author | Abdullah, M. Evans, L. Fraser, I. Tsalavoutas, I. |
| author_facet | Abdullah, M. Evans, L. Fraser, I. Tsalavoutas, I. |
| author_sort | Abdullah, M. |
| collection | UM |
| description | We examine the effect of family control on IFRS mandatory disclosure levels, and the valuation implications of these disclosure levels, for Malaysian companies. We find that family control is related negatively to disclosure and that compliance levels are not value relevant. These findings suggest that agency theory predictions and theories linking common law legal systems to high quality financial reporting require refining in certain national contexts. Where Type 2 agency problems dominate, institutional arrangements intended to enhance financial reporting quality aimed at mitigating Type 1 problems in developed markets may have limited effect in less developed jurisdictions. (C) 2015 Elsevier Ltd. All rights reserved. |
| first_indexed | 2024-03-06T05:40:40Z |
| format | Article |
| id | um.eprints-16269 |
| institution | Universiti Malaya |
| last_indexed | 2024-03-06T05:40:40Z |
| publishDate | 2015 |
| publisher | Taylor & Francis |
| record_format | dspace |
| spelling | um.eprints-162692019-08-26T06:50:45Z http://eprints.um.edu.my/16269/ IFRS Mandatory disclosures in Malaysia: the influence of family control and the value (ir)relevance of compliance levels Abdullah, M. Evans, L. Fraser, I. Tsalavoutas, I. HB Economic Theory HC Economic History and Conditions We examine the effect of family control on IFRS mandatory disclosure levels, and the valuation implications of these disclosure levels, for Malaysian companies. We find that family control is related negatively to disclosure and that compliance levels are not value relevant. These findings suggest that agency theory predictions and theories linking common law legal systems to high quality financial reporting require refining in certain national contexts. Where Type 2 agency problems dominate, institutional arrangements intended to enhance financial reporting quality aimed at mitigating Type 1 problems in developed markets may have limited effect in less developed jurisdictions. (C) 2015 Elsevier Ltd. All rights reserved. Taylor & Francis 2015 Article PeerReviewed Abdullah, M. and Evans, L. and Fraser, I. and Tsalavoutas, I. (2015) IFRS Mandatory disclosures in Malaysia: the influence of family control and the value (ir)relevance of compliance levels. Accounting Forum, 39 (4). pp. 328-348. ISSN 0155-9982, DOI https://doi.org/10.1016/j.accfor.2015.05.003 <https://doi.org/10.1016/j.accfor.2015.05.003>. https://doi.org/10.1016/j.accfor.2015.05.003 doi:10.1016/j.accfor.2015.05.003 |
| spellingShingle | HB Economic Theory HC Economic History and Conditions Abdullah, M. Evans, L. Fraser, I. Tsalavoutas, I. IFRS Mandatory disclosures in Malaysia: the influence of family control and the value (ir)relevance of compliance levels |
| title | IFRS Mandatory disclosures in Malaysia: the influence of family control and the value (ir)relevance of compliance levels |
| title_full | IFRS Mandatory disclosures in Malaysia: the influence of family control and the value (ir)relevance of compliance levels |
| title_fullStr | IFRS Mandatory disclosures in Malaysia: the influence of family control and the value (ir)relevance of compliance levels |
| title_full_unstemmed | IFRS Mandatory disclosures in Malaysia: the influence of family control and the value (ir)relevance of compliance levels |
| title_short | IFRS Mandatory disclosures in Malaysia: the influence of family control and the value (ir)relevance of compliance levels |
| title_sort | ifrs mandatory disclosures in malaysia the influence of family control and the value ir relevance of compliance levels |
| topic | HB Economic Theory HC Economic History and Conditions |
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