TY - JOUR
T1 - The impact of corporate governance on the information content of earnings and cash flows
T2 - Evidence from Brazil
AU - Miranda-Lopez, Jose
AU - Tama-Sweet, Isho
N1 - Publisher Copyright:
© 2024 Elsevier Inc.
PY - 2024/5
Y1 - 2024/5
N2 - We use the unique capital market structure that Brazil established in 2000 to investigate how different governance listing segments impact the relative and incremental information content of earnings and cash flows. Brazilian firms are classified into different listing segments on the stock market depending of their voluntary compliance with corporate governance regulations. We find that earnings provide greater relative information in the market as a whole, and this result is driven by the segments with enhanced governance regulations. For the market as a whole and for the enhanced governance segments, both earnings and cash flows provide incremental information.
AB - We use the unique capital market structure that Brazil established in 2000 to investigate how different governance listing segments impact the relative and incremental information content of earnings and cash flows. Brazilian firms are classified into different listing segments on the stock market depending of their voluntary compliance with corporate governance regulations. We find that earnings provide greater relative information in the market as a whole, and this result is driven by the segments with enhanced governance regulations. For the market as a whole and for the enhanced governance segments, both earnings and cash flows provide incremental information.
KW - Brazil
KW - Cash flows
KW - Corporate governance
KW - Earnings
KW - Information content
UR - http://www.scopus.com/inward/record.url?scp=85188512092&partnerID=8YFLogxK
U2 - 10.1016/j.irfa.2024.103169
DO - 10.1016/j.irfa.2024.103169
M3 - Article
AN - SCOPUS:85188512092
SN - 1057-5219
VL - 93
JO - International Review of Financial Analysis
JF - International Review of Financial Analysis
M1 - 103169
ER -