Secrecy culture and sensitivity of investment to stock prices: Evidence from emerging markets

IF 5.4 2区 经济学 Q1 BUSINESS, FINANCE
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引用次数: 0

Abstract

This paper investigates the effect of secrecy culture on the relationship between corporate investments and stock prices. We argue that managers from secretive cultures are more likely to rely on stock prices as an additional source of information, thereby leading to greater sensitivity of their investments to stock prices. Consistent with our arguments, we show that firms headquartered in countries with higher levels of secrecy culture exhibit stronger sensitivity of corporate investments to stock prices. Our results hold across various estimation strategies, in different sub-samples and for alternative proxies of secrecy culture and corporate investments. Furthermore, we show that investments exhibit greater sensitivity to stock prices of peer firms in countries that score high on secrecy.

保密文化与投资对股票价格的敏感性:新兴市场的证据
本文研究了保密文化对企业投资与股票价格之间关系的影响。我们认为,来自保密文化的管理者更有可能依赖股票价格作为额外的信息来源,从而导致其投资对股票价格更加敏感。与我们的论点一致,我们的研究表明,总部位于保密文化水平较高国家的公司,其企业投资对股票价格的敏感性更高。我们的结果在不同的估计策略、不同的子样本以及保密文化和企业投资的替代代用指标中都是成立的。此外,我们还发现,在保密程度较高的国家,企业投资对同行企业股票价格的敏感性更高。
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来源期刊
CiteScore
6.60
自引率
10.00%
发文量
142
期刊介绍: International trade, financing and investments, and the related cash and credit transactions, have grown at an extremely rapid pace in recent years. The international monetary system has continued to evolve to accommodate the need for foreign-currency denominated transactions and in the process has provided opportunities for its ongoing observation and study. The purpose of the Journal of International Financial Markets, Institutions & Money is to publish rigorous, original articles dealing with the international aspects of financial markets, institutions and money. Theoretical/conceptual and empirical papers providing meaningful insights into the subject areas will be considered. The following topic areas, although not exhaustive, are representative of the coverage in this Journal. • International financial markets • International securities markets • Foreign exchange markets • Eurocurrency markets • International syndications • Term structures of Eurocurrency rates • Determination of exchange rates • Information, speculation and parity • Forward rates and swaps • International payment mechanisms • International commercial banking; • International investment banking • Central bank intervention • International monetary systems • Balance of payments.
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