Quality of Management Performance, Information Confidence and market Confidence

Subject Areas : Journal of Investment Knowledge

mohammad hashemikhah ¹ (Ph.D. Student, Department of Accounting, Bonab Branch, Islamic Azad university, Bonab. Iran)
asgar pakmaram ² (Associate Prof., Department of Accounting, Bonab Branch, Islamic Azad University, Bonab, Iran)
nader rezaei ³ (Assistant Prof., Department of Accounting, Bonab Branch, Islamic Azad University, Bonab, Iran)
ahmad mohammadi ⁴ (Assistant Prof., Department of Accounting, Tabriz Branch, Islamic Azad University, Tabriz, Iran)

Received: 2020-07-19 Accepted : 2020-09-19 Published : 2024-06-21

Keywords: information reliability, Quality of management performance, market confidence,

Abstract :

The impact of information on prices is the core of the market. This means that as soon as new information is released, an immediate and immediate response occurs, and prices change. Research on how stock prices react to market-level information and the company's specific information in the financial literature has received special attention. The main purpose of the present experimental study is to determine the effect of quality of management performance on information confidence indicators and market confidence indicators. To measure the quality of management performance from the management ability index of Demerjian et al (2012), to measure information reliability from the interaction between information quality assurance and cash flow reliability and to measure market confidence from three indicators of arbitrage risk, stock volatility and value risk. The stock market has been used. The statistical population of this study includes companies listed on the Tehran Stock Exchange and the data studied in this study include 150 Firm from 2008 to 2018. The research method is correlational and postoperative causality and the hypothesis testing method is correlation and regression test. The results of this study showed that the quality of management performance has a positive and significant effect on market confidence and no evidence was obtained on the effect of quality of management performance on information confidence.

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