Determinants of strategy disclosure quality: empirical evidence from Germany
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DOIhttp://dx.doi.org/10.21511/ppm.17(4).2019.09
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Article InfoVolume 17 2019, Issue #4, pp. 104-120
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Strategy reporting is of high interest to investors and can be seen as decision-useful information. The focus of this study is to analyze the determinants of the quality of voluntary strategy disclosure in German management reports of capital market-oriented companies. Based on a theoretical analysis, hypotheses are formulated to investigate the determinants of the quality of voluntary strategy disclosure. In order to test the hypotheses, a number of statistical tests are performed, especially multiple regression analyses. It is based on a unique hand-collected dataset with a self-constructed scoring model, which measures the quality of voluntary strategy disclosure. The sample comprises 110 largest companies in Germany for the period between 2014 and 2018. The results indicate that firm size, firm growth and capital intensity determine voluntary strategy disclosure significantly and positively. Conversely, firm age, financial leverage, ownership structure and profitability do not have a significant relationship with voluntary strategy disclosure. The results are robust to different statistical analysis. This research provides insights into a neglected topic in academia and helps decision-makers in practice and regulators to better understand voluntary strategy disclosure of capital market-oriented companies.
- Keywords
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JEL Classification (Paper profile tab)M10, L10
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References53
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Tables8
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Figures0
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- Table 1. Sample selection procedure
- Table 2. Descriptive statistics of metric variables
- Table 3. Pearson and spearman correlation matrix
- Table 4. Results of multiple regression models
- Table 5. Robustness check 1: regression models by year
- Table 6. Robustness check 2: regression models with different proxies for firm size without control variables
- Table 7. Robustness check 3: regression models with different proxies for firm size including control variables
- Table A1. Data collection instrument
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The determinants of firm financing structures across sectors: an evidence from Indonesian listed companies
Satriyo Budi Cahyono
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Arvinder Singh Chawla
doi: http://dx.doi.org/10.21511/imfi.16(1).2019.08
Investment Management and Financial Innovations Volume 16, 2019 Issue #1 pp. 100-118 Views: 1827 Downloads: 166 TO CITE АНОТАЦІЯThe study investigates the impacts of firms-, industry-, and country-level covariates on the financing structure amongst the Indonesian listed companies. Using artificial nested testing procedure, the preferred models were selected that could illustrate the association between debt ratio and its determinants. By making use of the full sample, it was found that these three levels of determinants explain approximately 73% of leverage variations.
Further, the importance of these determinants on leverages across sectors is also investigated in this study. The sectoral behavior plays a crucial role as the firm- and sector-level covariates indicate more important variables than country-level covariates, which implies that the firm-level covariates become the main factors in firm financing structure determination.
The artificial nested testing procedure (F-test) was used choose the preferred models, which is suitable for each sector. The selection of models depends on the sectoral characteristics, which indirectly control the orientation and magnitude of relationships. Those three levels of determinants have different impacts on capital structure across sectors, which provides evidence that the sectoral behaviors indirectly tend to influence the association between determinants and firm financing pattern in the Indonesian context. -
Determinants of the credit risk in developing countries: a case of Kosovo banking sector
Banks and Bank Systems Volume 12, 2017 Issue #4 pp. 90-97 Views: 1555 Downloads: 393 TO CITE АНОТАЦІЯThe determinant of the credit risk of banks in a developing country have limited data to analyze and limited participation in literature. Determinants of credit risk are very important in order to define the non-performing loans (NPL) in Kosovo banking systems. Even though banking system in Kosovo is the newest in region, it is comparable with banking systems to all places in regions (Albania, Serbia, Montenegro, Macedonia, Bosnia and Herzegovina, etc.).
The main purpose of this paper is to classify some factors that influence credit risk in commercial banks in Kosovo. The research includes seven commercial banks for the period 2006–2015. Data analysis and interpretation are processed with Statistical Program for Social Sciences SPSS v.19.0.
The effect of variations in the determinants of credit risk exposure is based on using a multivariate panel regression model. Our empirical results suggest that a significant relationship exists between credit risk and the following variables: Profitability (ROE and ROA), Inefficiency (IE), Loans to deposit ratio (LDR), Credit growth (CG) and Deposit rate (DR), while variables of Solvency (SR) and Credit rate (CR) are not statistically significant in terms of credit risk. -
Financial sustainability of the state pension system of Ukraine
Olena Horbunova , Viktoriia Kartseva , Nataliya Pedchenko 
,
Myroslav Ostapenko
doi: http://dx.doi.org/10.21511/imfi.15(2).2018.02
Investment Management and Financial Innovations Volume 15, 2018 Issue #2 pp. 17-28 Views: 1317 Downloads: 189 TO CITE АНОТАЦІЯThe financial situation of the Ukrainian pension system and the problems of its reforming play an important role in determining the general standard of living in the country. The institutional weaknesses in the financial management of the state pension system have led to an unbalanced budget of the Pension Fund of Ukraine and a low standard of living for pensioners. In order to identify the potential for building an effective system of pension insurance, it is necessary to study the modern aspects of financial provision of the Ukrainian pension system. The article defines the economic interrelations between the processes of forming the financial resources of the Pension Fund of Ukraine and the volume and structure of the gross domestic product. In view of this, the financial sustainability of the state pension system of Ukraine has been researched and the determinants of its stable functioning in the years 1999–2017 have been identified, which enables to influence the process of effective formation and use of pension resources and to identify the strategic directions of reforming the pension system.
