dc.contributor.advisor | Rohrer, Maximilian | |
dc.contributor.author | Strømnes, August Joachim Holst | |
dc.contributor.author | Skagseth, Eirik Fjelltveit | |
dc.date.accessioned | 2019-09-02T08:47:21Z | |
dc.date.available | 2019-09-02T08:47:21Z | |
dc.date.issued | 2019 | |
dc.identifier.uri | http://hdl.handle.net/11250/2611962 | |
dc.description.abstract | We challenge the empirical relationship between annual report readability and subsequent
stock return volatility, used to validate readability measures’ ability to reflect the effective
communication of valuation-relevant information. We establish that vocabulary most
indicative of higher and lower readability scores are words specific to selected industries,
and that both readability measures and stock return volatility hold strong time trends.
When controlling for the unobserved time-varying heterogeneity across industries we
find that both the magnitude and the statistical significance of the association between
readability and volatility mitigates. Overall, the results support the notion that this
association reflects the underlying complexity of the firm’s business rather than the
effective communication of valuation-relevant information. | nb_NO |
dc.language.iso | eng | nb_NO |
dc.subject | business analytics | nb_NO |
dc.title | The complexity of readability : the effect of industry complexity on annual report readability | nb_NO |
dc.type | Master thesis | nb_NO |
dc.description.localcode | nhhmas | nb_NO |