Relationship between Financial Disclosure and Trading Value - A Case Study: Tehran Securities Exchange

Abstract

The purpose of this study is to investigate the relationship between the quality of information disclosure and Trading value that have taken place in six statistical models. In this study, the quality of information disclosure is considered as the independent variable, turnover and Trading value as dependent variables and the size of the company, the earnings per share, the market value to book value and return on assets are considered as control variables. The population chosen for the present study according to the subject and its application is the listed companies in Tehran Stock Exchange. This study used data from companies listed on Tehran Securities Exchange at the beginning of 2010 until the end of 2014 on an annual basis and at the beginning of 2012 until the end of 2014 on a seasonal basis to collect the information and likewise, results of testing the two hypotheses is presented in two sections. In this study, multivariate regression analysis by mixed data with fixed effects was used to test the hypothesis. Results of the study (2012-2014) shows that there is no significant relationship between the quality of information disclosure and turnover, the Trading value, the trading value of selling, the trading value of satins , the trading value of buying and the trading value of buying. while there is a significant relationship between the size of company and the turnover and also between the size of company, the return on assets and the market value to book value with the trading value, the trading value of selling, buying and buying. Also there is a significant between the size of company and the return on assets with the trading value of selling. Meanwhile, results of research in both methods of data collection, seasonal and annual, have been the same.