Iranian Journal of Finance

This study aims to analyze fraudulent financial reporting based on the Fraud Hexagon theory in companies listed on the Tehran Stock Exchange. The population in this research included all the companies listed on the Tehran Stock Exchange. The samples in this research were determined using the purposive sampling method, and the selection of samples was based on the criteria determined according to the objectives of the research. The reason for using this technique was to make it easier to collect data according to the research needs. This research was conducted on the companies listed on the Tehran Stock Exchange in 2014-2023, with a statistical population of 141 companies. Finally, 1410 companies were collected for this research. The dependent variable in this research was measured using dummy variables, and logistic regression analysis was used to test the hypotheses. The results of the research indicated that the factors of collusion, CEOs' narcissism, and motivation have a significant relationship with fraudulent financial reporting. However, auditor change, CEO change, and the industry's nature do not positively affect fraudulent reporting.

Herding behavior is typically described as the inclination of investors to follow the actions of others in their investment decisions. Herding represents a behavioral tendency in which investors rely on collective rather than private information. Herd literature shows that return jumps can serve as a representation of information arrival, leading to significant price changes. This proposition is introduced due to its potential impact on investor sentiment, assuming greater awareness among other investors as a factor related to the occurrence of herding. Furthermore, it is believed that, in conditions of negative market returns, market participants are more inclined to mimic the behavior of others due to the stress induced by the risk incurred. In the background of previous research, evidence indicates the occurrence of herd behavior on days with return jumps and negative returns. In this study, we investigated herding behavior and its asymmetry through the utilization of return jumps, employing the CSAD method. Under circumstances in which there were no occurrences of return jumps and without taking into account negative market returns, our research was unable to verify the existence of herding at the market level. Nevertheless, when return jumps and negative market returns were present, the occurrence of herd behavior was proven, and the asymmetry of herd behavior was also verified.

Women have been trying to gain independence throughout history. In recent years, advances in technology and business have helped women to achieve this goal. According to women's personality and psychological characteristics, there are differences in their trading styles. One of the factors influencing the choice of this type of strategy is stress. In the last few years, stress and anxiety caused by Corona have become epidemic. In order to test the hypotheses, women traders active in the financial markets of Iran were examined using a Likert questionnaire in 2022, and interesting results were obtained. In order to carry out the research of this study, an interview was conducted first to find suitable questions and validity. Then, the statistical population and sample were selected, and the final questionnaire was distributed among them. MATLAB software was used to identify the number of common descriptive characteristics of the respondents, and finally, using EViews software, statistical analysis related to hypothesis testing was performed. The result shows that women play more conservatively and are risk-averse during the period of coronavirus infection. It has no effect on the volume and capital used in the transaction. The Corona anxiety has significant effects on the three dependent variables of conservatism, trading style, and trading (volume, capital, and number of transactions).

Financial literacy is a globally recognized priority, acknowledged for its significance in various countries. The present study endeavors to investigate the influence of financial literacy on Risk Tolerance and financial anxiety among teachers of English as a second language   in Iranian Public Schools. The focal point of this investigation revolves around the mediating responsibilities associated with Spending management. To gather the necessary data, an online survey was conducted, collecting responses from a total of 214 participants. Through an extensive exploratory and confirmatory factor analysis, these data were analyzed. As a result, two hypotheses were found to be invalid; it was determined that financial literacy plays a pivotal role in shaping saving attitudes and managing spending habits. Furthermore, it was observed that both saving attitudes and financial anxiety significantly affect one's risk tolerance level.

Herd behavior, the tendency of individuals to mimic the actions of a larger group, significantly impacts capital markets by influencing stock prices, market liquidity, and overall market stability. This phenomenon has garnered significant attention in financial studies due to its implications for both institutional and individual investors, contributing to increased market volatility and potential crashes. Various methodologies have been developed to assess herd behavior, revealing its presence across diverse market conditions, including periods of high distress and volatility. This study examines macro herding in the Tehran Stock Exchange from March 2016 to February 2024, using weekly asset returns to measure herd behavior among listed companies. For the first time in Iran, we employ the TV method to calculate herding. The TV method offers two primary advantages: it is adept at identifying macro herding because it captures the collective trading direction of investors, and it operates independently of asset pricing models, minimizing biases associated with those models. Focusing on the collective trading direction, we aim to detect significant deviations in stock price movements indicative of herd behavior. Our findings indicate that herd behavior is more pronounced during extreme market conditions, both positive and negative, with a particularly notable increase during periods of negative market returns. This study provides insights into the dynamics of investor behavior in the Tehran Stock Exchange, highlighting the importance of monitoring such behavior to mitigate its potential adverse effects on market stability.

The publication of financial statements, a vital corporate communication tool, significantly influences behavioral biases in both individuals and organizations. While the importance of behavioral factors for investors is well recognized, the impact of financial statement releases on these biases in the Iranian capital market has yet to be thoroughly examined. This study investigates the effect of financial statement releases on two key biases: loss aversion and overconfidence among investors. By employing both quantitative and qualitative research methods, comprehensive data was collected from the Iranian stock market. For the analysis of loss aversion, a sample of 111 companies over six years (2017–2022) was selected using the systematic elimination method, while overconfidence bias was assessed at the market level. An event study method was used to measure the impact of financial statement releases on these biases. To analyze loss aversion, a regression model using the Dynamic Panel Data (GMM) method was applied, and for overconfidence, a Vector Autoregression (VAR) model was estimated during the financial statement release period at the market level. The findings show that investor’s exhibit heightened loss aversion during financial statement releases, and overconfidence bias was also evident, with investors attributing positive market outcomes to themselves and acting more aggressively in subsequent transactions. Based on the results, investors should consider behavioral bias patterns in their decision-making and incorporate technical analysis. Additionally, companies should ensure transparency and accuracy in their financial statements while remaining attentive to market behaviors and reacting promptly to changes.