information asymmetry

The purpose of a financial manager in dividend policy is to maximize the wealth of its owners while providing adequate funds for the company. In this research, the aim is to determine the relationship between information asymmetry, dividend policies and ownership structure. After designing information asymmetry evaluation indicators, the transaction information has been collected from the Stock Exchange in the five year period of 2011-2015. A statistical sample of 155 companies was selected using a systematic elimination method, which was a total of 775 years-firm. In this research, linear regression and correlation were used to analyze the hypotheses of the research. What can be said in the summing-up and conclusion of the general test of research hypotheses is that the company with a higher information asymmetry is less likely to pay dividends, as well as government-affiliated companies with higher information asymmetry pay more dividends compared to non-governmental corporations. Finally, the results indicated that structural reform in order to increase the transparency of information leads to a positive moderating effect on the relationship between information asymmetry and dividend policies

The purpose of the present study is to investigate the relationship between corporate social responsibility and investment efficiency with particular emphasis on the mediating role of agency cost and information asymmetry in a sample of 121 firms listed on the Tehran Stock Exchange during the time period from 2012 to 2017. The research hypotheses are tested using multivariate regression analysis based on panel data and Eviews software. The results indicate that corporate social responsibility is negatively correlated with investment inefficiency. In other words, corporate social responsibility leads to reduced investment inefficiency. Also, information asymmetry plays a mediating role in the relationship between corporate social responsibility disclosure and underinvestment, whereas the variable of agency cost mediates the association between corporate social responsibility disclosure and overinvestment.

Though it is generally accepted that information asymmetry has an impact on capital structure policy, the nature of the information asymmetry is not well understood. Recent theoretical works and empirical evidences suggest that financing choice depends upon the information asymmetry about investment risk of the particular use of funds (Halov & Heider, 2012) (Rao, Mohanty, & Baxamusa, 2015). Consistent with this view, we analyzed the data gathered among 199 companies listed in Tehran Stock Exchange during 2009-2016 by The Multiple Linear Regressions in order to test research’s hypotheses have been applied. We also examined the influence of Petrochemical industry on that relationship. The findings show that equity is used to fund projects with greater information asymmetry about their risk such as intangible assets and capital expenditure, while debt is used to fund investments with lower information asymmetry about their risk such as liquidity enhancement. We also found that the membership in petrochemical industry has no effect on the intangible assets and cash holding’s financing method, but concerning with capital expenditure and working capital the impact is significantly negative.

Due to the importance of technology and innovation in the oil industry, it is necessary to look more closely at the intellectual property of this industry. Intellectual capital is a concept that can classify and report the technology capabilities and knowledge spillover in a comparative format. The present research is aimed at providing an appropriate framework for reporting intellectual capital in oil industry companies. For this research, semi-structured interviews have been done with 15 experts and people from petrochemical and petroleum companies with intellectual and experiential thinking space. After the interview, the relevant texts were analyzed by the thematic analysis method. Finally, the intellectual capital reporting framework was extracted as a qualitative research product. Then, a questionnaire was designed to assess the acceptance of the qualitative model, which was distributed among the statistical community consisting of professors and PhD students and experts of different universities and companies. The results of the distributed questionnaire showed that the components of the framework were approved by the respondents.

Information flow is a key parameter in an economic activity that acts as the main factor in the capital market emergence, stability, and efficiency. The purpose of the current research is to investigate the effect of the environmental points of cooperate governance on the pricing of information asymmetry. In this regard, we have extracted data related to companies accepted in the "Tehran Stock Exchange" from 2009 to 2018, and a panel-data regression model was utilized to test research hypnosis. The results show that information asymmetry and environmental points of cooperate governance have a significant effect on the expected return (cost of capital) on an investment. In addition, the effect of environmental points of cooperate governance on the relationship between the information asymmetry and the cost of capital has been verified. Finally, the results show that environmental points of cooperate governance leads to the differences in the cost of capital in the different levels of information asymmetry.

The stock exchange, as a part of the capital market, in case of necessary conditions, can mobilize national capital and direct it towards economic growth. A secure environment where managers are working towards stockholders for investment and information asymmetry is considered to be the features of a good business. This research seeks to investigate whether information asymmetry of the financial market and macroeconomic growth can affect investors’ confidence ration. Our model is estimated using MGARCH for seasonal data of the stock market in Iran and the real GDP during the period from 1991-2016. The findings of the research have shown a significant effect of macroeconomic growth and information asymmetry of the financial market on the investors’ confidence. There is also a two-way gradient relationship between the information asymmetry and the confidence of investors in the short run. There is a cointegration relationship between these three variables.

The soundness and efficiency of banks is one of the important subjects that neglecting it can have adverse consequences for every country's economy. For economies depending on the money market, such as the Iran economy, this subject is more critical. Therefore, in this study, using panel data related to 16 Iranian banks for the annual period of 2010-2017, the economic efficiency was determined using a translog cost function and stochastic frontier analysis method then, by estimating the model of panel vector autoregression model and Granger causality test, the causal relationships between efficiency and information asymmetry in terms of adverse selection ( the ratio of loans to assets and the ratio of loans to deposits) and moral hazard ( the ratio of non-performing loans), were investigated, both of which are caused due to the information asymmetry. The estimations confirm the unilateral causal relationship of adverse selection and moral hazard with banking system efficiency. And, on the contrary, they claim that low efficiency of the banking system increases the adverse selection and moral hazard is not confirmed. Besides, the results of other estimates based on the panel model with random effects indicate a negative and significant impact of moral hazard and adverse selection on efficiency.

The primary purpose of this study is to investigate the relationship between Political Communication and Information Asymmetry with the efficiency of investment in companies listed on the Tehran Stock Exchange. To achieve the above goal, two hypotheses were formulated. To test research hypotheses, a sample consisting of 109 companies listed on the Tehran Stock Exchange in the period 2014 to 2019 was selected. And a panel regression model based on composite data was used which has independent and dependent variables. The results of this study show that Political Communication has a negative and significant impact on Investment Efficiency, In contrast, Information Asymmetry has a positive and significant impact on Investment Efficiency, and this means that with increasing information asymmetry, investment efficiency increases. Therefore, political communications prefer corporate resources to pursue profitable investment options, thus altering corporate investment behaviors and reducing corporate investment efficiency. The results also show that Information asymmetry prevents investors from commenting on investment opportunities, thus allowing local managers to take advantage of profitable investment options.

The ultimate goal of investments in stock markets is to earn a satisfactory return on investment, but this is difficult to achieve without enough information to predict stock returns. Information asymmetry refers to a situation where some investors have access to private information that is not reflected in the prices and is yet to be revealed to others. Information asymmetry as a market failure can lead to adverse effects such as poor investor decisions, increased corporate investment risk, and finally reduced stock returns. The issue is important in capital market of developing countries particularly due to the incomplete voluntary disclosure of information as well as its low quality and defective regulatory system. Therefore, in this study, effect of information asymmetry on stock returns has been investigated in a select group of companies listed in Tehran Stock Exchange. The analysis of this relationship was conducted dynamically for the short-term and long-term using Westerlund and Dumitrescu-Hurlin tests and Generalized Method of Moments to achieve articulated results. Using the tests is suitable with cross-sectional dependence of variables and error terms. Also, using the method is appropriate for measuring lagged effect of dependent variable and removing the bias caused by the endogeneity of explanatory variables. The Results demonstrate a significant relationship between information asymmetry and stock return dynamically in short- and long-run. The results show that there is a negative systemic effect of information asymmetry on stock return. Also, debt to asset, profit to sales, firm size and lagged stock return effects are significant.

The beha ioral decision-making process of indi iduals highlights the importance of in estors' feelings and their correlation with the real economy. The purpose of this study was to model Digital in estment satisfaction based on accounting information, information asymmetry, and indi idual  alues. Qualitati e methodology was used to answer the research question. Furthermore, in terms of research philosophy, the present research is in the category of positi ist paradigm and practical type, and in terms of qualitati e and quantitati e research, it has an inducti e and deducti e approach and a sur ey strategy. This research is exploratory in terms of purpose ,that is to say, it explores  ariables and their causal relationship. The required information was collected through inter iews with experts and ATLAS.ti 9 software was used qualitati ely. The research population included financial and management experts of companies listed on the Tehran Stock Exchange. By analyzing the data collected in the research, a total of 23 categories and 252 and finally 127 concepts were identified and extracted. Selecti e coding and axial coding were also performed. Among the identified factors, the axial coding paradigm was performed and based on that, the linear relationship between research categories was determined, including causal conditions, axial categories, underlying conditions, inter ening conditions, strategies, and consequences. One Judicious leader for the more part for settlement on a decision focused on certain rationale and systematically decision-taking methodology. Because of the recent budgetary emergency worldwide, the  enture choices are considered one of the essential assignments in the e eryday life.

This study examines empirically the effect of equity overvaluation on future stock price crash risk in companies with greater information asymmetry. Using the information asymmetry and crash risk indicators, the question that whether overvalued firms are more prone to future crash risk is investigated. Accordingly, the first purpose of this study is to investigate the relation between overvaluation and the future stock price crash risk. With the increase of information asymmetry between a firm and the market, managers have more abilities and opportunities to withhold bad news and accelerating the release of good news. As a result, it is expected that the information asymmetry between managers and investors increases future stock price crash risk. In so doing, we identify one main hypothesis and three subsidiary ones and the data of 111 listed companies of Tehran Stock Exchange for the period between 2009 and 2017 were analyzed and A panel data approach has been used to test of research hypotheses. According to the results, there is a positive and significant relationship between the overvaluation and the future stock price crash risk of companies which are operating in monopolistic markets and this relation intensified by the information asymmetry.

The role of the capital market is fundamental and decisive in the economy of all countries [6]. Studies show that in the capital market, prices are determined based on macroeco-nomic variables[2]. Accordingly, In this study is to provide a model for measuring the impact of economic policy uncertainty (EPU) on information asymmetryn.The research method is applied and has been made to present a model for measuring the effect of EPU on information asymmetry in the EVIEWS12 and MATLAB2021 software environment. The research time period is determined from 2011 to 2020 and 101 companies are selected based on the applied restrictions to estimate the model. In this study, 40 variables affecting EPU are entered into the According to the results of BMA, the most important variables affecting the EPU is provided[2]. Based on the principal components approach, the EPU index is calculated using the most important variables affecting this variable. Then, with the GARCH model, the uncertainty part of the EPU index is extracted, and finally, using the powerful nonlinear TVPFAVAR model, the shock caused by the EPU variable on the information asymmetry indices in the research period is analyzed. The results show that the shock caused by the fluctuation of the variable of EPU has increased the index of information asymmetry in recent years. Based on the results, EPU shock on the index of information asymmetry has had a stronger effect on in the short and long term information asymmetry than the medium term.

Corporate integrity is considered as part of the company's development strategies, which in the long run can lead to the increased firms' financial transparency to stakeholders. The purpose of our study is to present a corporate integrity model and, then to investigate its effect on firms' information asymmetry. In this study, to measure the corporate integrity, we use Meta-synthesis and Delphi analysis in the qualitative part. Then, in the quantitative section, the corporate integrity questionnaires were sent to the managers of the sample firms. Subsequently, a total of 138 questionnaires were completed and sent back, which were used as the final samples for analysis. In addition, information asymmetry is measured using the three different proxies, namely bid-ask spread, turnover, and Amihud illiquidity measure. Our findings show a significant and negative effect of corporate integrity on information asymmetry. This results suggest that corporate integrity, by promoting behavioral values based on truthfulness and commitment, the structures will enhance the corporate governance mechanisms and, thereby, firstly motivate the managers to reduce the agency gap and, secondly, implement a more effective level of the supervisions on the firm's performances in front of the stakeholders by accelerating the circulation of information and giving timely and reliable feedback to the stakeholders. This is the first study that presents a corporate integrity model through qualitative analysis and then, investigates the effect of corporate integrity on firms' information asymmetry. Therefore, our study can contribute to the extant literature of this context.