Desired vis‐à‐vis required interim disclosures
Journal of Financial Regulation and Compliance
ISSN: 1358-1988
Article publication date: 1 February 2000
Abstract
This study compares those interim disclosures that managers desire to make with those they are required to make. Managers and regulators agree on the optimal degree of disclosure on growth potential and size. It appears that the less managers voluntarily disclose, the greater the firm's growth potential. This may be because managers feel that other evidence signals the good future prospects or the information indicating positive growth is too proprietary to reveal to competitors. Some differences are observed. Managers would pay more attention to the specific needs of their governance groups. Regulations would require more disclosure of variables indicating: business risk; capital structure; and growth. These differences in perceived need for disclosure highlight the importance of continued study of the optimal scope and scale of disclosure.
Citation
Schadewitz, H.J., Kanto, A.J., Kahra, H.A. and Blevins, D.R. (2000), "Desired vis‐à‐vis required interim disclosures", Journal of Financial Regulation and Compliance, Vol. 8 No. 2, pp. 170-179. https://doi.org/10.1108/eb025041
Publisher
:MCB UP Ltd
Copyright © 2000, MCB UP Limited