245
Views
1
CrossRef citations to date
0
Altmetric
Research Article

Exchange Inquiry Letters and Stock Price Informativeness: Evidence from China

& ORCID Icon

References

  • Baron, R. M., and D. A. Kenny. 1986. The moderator-mediator variable distinction in social psychological research: Conceptual, strategic, and statistical considerations. Journal of Personality and Social Psychology 51 (6):1173–82. doi:10.1037//0022-3514.51.6.1173.
  • Ben-Nasr, H., and A. A. Alshwer. 2016. Does stock price informativeness affect labor investment efficiency? Journal of Corporate Finance 38:249–71. doi:10.1016/j.jcorpfin.2016.01.012.
  • Bens, D. A., M. Cheng, and M. Neamtiu. 2016. The impact of SEC disclosure monitoring on the uncertainty of fair value estimates. The Accounting Review 91 (2):349–75. doi:10.2308/accr-51248.
  • Bozanic, Z., J. R. Dietrich, and B. A. Johnson. 2017. SEC comment letters and firm disclosure. Journal of Accounting & Public Policy 36 (5):337–57. doi:10.1016/j.jaccpubpol.2017.07.004.
  • Cassell, C. A., L. M. Dreher, and L. A. Myers. 2013. Reviewing the SEC’s review process: 10-K comment letters and the cost of remediation. The Accounting Review 88 (6):1875–908. doi:10.2308/accr-50538.
  • Chan, K., and Y.-C. Chan. 2014. Price informativeness and stock return synchronicity: Evidence from the pricing of seasoned equity offerings. Journal of Financial Economics 114 (1):36–53. doi:10.1016/j.jfineco.2014.07.002.
  • Chen, Q., I. Goldstein, and W. Jiang. 2007. Price informativeness and investment sensitivity to stock price. Review of Financial Studies 20 (3):619–50. doi:10.1093/rfs/hhl024.
  • Chen, Y., Y. Deng, Y. Jin, H. Lou, and X. Zhang. 2020. Political connection and regulatory scrutiny through comment letters: Evidence from China. International Review of Finance 20 (3):789–98. doi:10.1111/irfi.12230.
  • Chi, S. S., and D. M. Shanthikumar. 2017. Local bias in google search and the market response around earnings announcements. The Accounting Review 92 (4):115–43. doi:10.2308/accr-51632.
  • Christensen, B. E., S. M. Glover, and C. J. Wolfe. 2014. Do critical audit matter paragraphs in the audit report change nonprofessional investors’ decision to invest? Auditing: A Journal of Practice & Theory 33 (4):71–93. doi:10.2308/ajpt-50793.
  • Cunningham, L. M., B. A. Johnson, E. S. Johnson, and L. L. Lisic. 2020. The switch‐up: An examination of changes in earnings management after receiving SEC comment letters. Contemporary Accounting Research 37 (2):917–44. doi:10.1111/1911-3846.12546.
  • Da, Z., J. Engelberg, and P. Gao. 2011. In search of attention. Journal of Finance (John Wiley & Sons, Inc) 66 (5):1461–99. doi:10.1111/j.1540-6261.2011.01679.x.
  • Drienko, J., and S. J. Sault. 2013. The intraday impact of company responses to exchange queries. Journal of Banking & Finance 37 (12):4810–19. doi:10.1016/j.jbankfin.2013.08.011.
  • Durnev, A., R. Morck, B. Yeung, and P. Zarowin. 2003. Does greater firm-specific return variation mean more or less informed stock pricing? Journal of Accounting Research (Wiley-blackwell) 41 (5):797–836. doi:10.1046/j.1475-679X.2003.00124.x.
  • Ebrahimnejad, A., and S. Hoseinzade. 2019. Short-sale constraints and stock price informativeness. Global Finance Journal 40:28–34. doi:10.1016/j.gfj.2018.11.002.
  • Fernandes, N., and M. A. Ferreira. 2009. Insider trading laws and stock price informativeness. Review of Financial Studies 22 (5):1845–87. doi:10.1093/rfs/hhn066.
  • Gietzmann, M., A. Marra, and A. Pettinicchio. 2016. Comment letter frequency and CFO turnover. Journal of Accounting, Auditing & Finance 31 (1):79–99. doi:10.1177/0148558X15579493.
  • Gietzmann, M. B., and H. Isidro. 2013. Institutional investors’ reaction to SEC concerns about IFRS and US GAAP reporting. Journal of Business Finance & Accounting 40 (7/8):796–841. doi:10.1111/jbfa.12027.
  • Gietzmann, M. B., and A. K. Pettinicchio. 2014. External auditor reassessment of client business risk following the issuance of a comment letter by the SEC. European Accounting Review 23 (1):57–85. doi:10.1080/09638180.2013.774703.
  • Gul, F. A., J.-B. Kim, and A. A. Qiu. 2010. Ownership concentration, foreign shareholding, audit quality, and stock price synchronicity: Evidence from China. Journal of Financial Economics 95 (3):425–42. doi:10.1016/j.jfineco.2009.11.005.
  • Gul, F. A., B. Srinidhi, and A. C. Ng. 2011. Does board gender diversity improve the informativeness of stock prices? Journal of Accounting & Economics 51 (3):314–38. doi:10.1016/j.jacceco.2011.01.005.
  • Johnston, R., and R. Petacchi. 2017. Regulatory oversight of financial reporting: Securities and exchange commission comment letters. Contemporary Accounting Research 34 (2):1128–55. doi:10.1111/1911-3846.12297.
  • Kacperczyk, M., S. Sundaresan, and T. Wang. 2021. Do foreign institutional investors improve price efficiency? Review of Financial Studies 34 (3):1317–67. doi:10.1093/rfs/hhaa076.
  • Kan, S., and S. Gong. 2018. Does high stock return synchronicity indicate high or low price informativeness? Evidence from a regulatory experiment. International Review of Finance 18 (4):523–46. doi:10.1111/irfi.12157.
  • Kubick, T. R., D. P. Lynch, M. A. Mayberry, and T. C. Omer. 2016. The effects of regulatory scrutiny on tax avoidance: An examination of SEC comment letters. The Accounting Review 91 (6):1751–80. doi:10.2308/accr-51433.
  • Li, X., P. Qiao, and L. Zhao. 2019. CEO media exposure, political connection and Chinese firms’ stock price synchronicity. International Review of Economics & Finance 63:61–75. doi:10.1016/j.iref.2018.08.006.
  • Morck, R., B. Yeung, and W. Yu. 2000. The information content of stock markets: Why do emerging markets have synchronous stock price movement? Journal of Financial Economics 58 (1/2):215–60. doi:10.1016/S0304-405X(00)00071-4.
  • Ouyang, W., and S. H. Szewczyk. 2018. Stock price informativeness on the sensitivity of strategic M&A investment to Q. Review of Quantitative Finance & Accounting 50 (3):745–74. doi:10.1007/s11156-017-0645-x.
  • Qiu, B., J. Yu, and K. Zhang. 2020. Trust and stock price synchronicity: Evidence from China. Journal of Business Ethics 167 (1):97–109. doi:10.1007/s10551-019-04156-1.
  • Roll, R. 1988. R2. Journal of Finance (Wiley-blackwell) 43 (3):541–66. doi:10.2307/2328183.
  • Schrand, L., J. Freybote, and W. Schaefers. 2021 April. Do REIT investors care? An investigation into the market response to the public release of SEC comment letter correspondences. Journal of Property Research 1–24. doi:10.1080/09599916.2021.1903067.
  • Schuppli, M., and M. T. Bohl. 2010. Do foreign institutional investors destabilize China’s A-share markets? Journal of International Financial Markets, Institutions & Money 20 (1):36–50. doi:10.1016/j.intfin.2009.10.004.
  • Xu, C., and K. Pistor. 2004. Enforcement failure under incomplete law: Theory and evidence from financial market development. Mimeo, London School of Economics.
  • Yu, Z., L. Li, G. Tian, and H. Zhang. 2013. Aggressive reporting, investor protection and stock price informativeness: Evidence from Chinese firms. Journal of International Accounting, Auditing & Taxation 22 (2):71–85. doi:10.1016/j.intaccaudtax.2013.07.004.

Reprints and Corporate Permissions

Please note: Selecting permissions does not provide access to the full text of the article, please see our help page How do I view content?

To request a reprint or corporate permissions for this article, please click on the relevant link below:

Academic Permissions

Please note: Selecting permissions does not provide access to the full text of the article, please see our help page How do I view content?

Obtain permissions instantly via Rightslink by clicking on the button below:

If you are unable to obtain permissions via Rightslink, please complete and submit this Permissions form. For more information, please visit our Permissions help page.