The Relationship Between RiskTaking and Comparability of Financial Statements With an Emphasis on the Characteristics of Ownership, Structure and Financial Security of Banks Admitted to the Tehran Stock Exchange.
Subject Areas : Business Management
Keywords: Financial statement comparability, Bank risk-taking, Bank size, Ownership concentration,
Abstract :
Studying the prudence behavior of banks and the factors affecting it is of paramount importance for economic and financial policymakers, given the role banks play in financial markets and the rapid reflection of policies in this sector throughout the economy. Thus, this study mainly aims to examine the role of ownership concentration and bank size on the relationship between financial statement comparability and bank risk-taking. This is a correlation-regression analysis research study that uses an applied methodology in terms of performance outcome. The research period is seven years, including the financial statements of 2014-2020. The statistical population consists of banks listed on the Tehran Stock Exchange (TSE) selected by the screening method. Besides, econometric models were used to test research hypotheses and determine the relationships between independent and dependent variables, and the relevant hypotheses were examined using multivariate panel regression. The results demonstrated that financial statement comparability has a significant negative effect on bank risk-taking. It was also found that bank size and ownership concentration have a moderating effect on the relationship between financial statement comparability and bank risk-taking.
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