Evaluating the disclosure of non-financial information with an emphasis on sustainability information on the decision-making options of investors
Subject Areas : Corporate governanceArezoo Kolyayi 1 , Farzin Rezaei 2
1 - PhD Student, Accounting Department, Qazvin Branch, Islamic Azad University, Qazvin, Iran
2 - Prof., Department of Accounting, Qazvin Branch, Islamic Azad University, Qazvin, Iran
Keywords: Sustainability disclosure, Non-financial information, Investor decision-making, Brokers,
Abstract :
Objective: Sustainability has become a critical consideration for businesses, as companies implement various initiatives to enhance sustainable practices. In recent years, investors have also taken into account companies’ environmental, social and governance performance in making financial decisions, and have increasingly focused on corporate sustainability disclosure and integrating it into their investment decisions. The aim of this study is to evaluate the disclosure of non-financial information with an emphasis on sustainability information on brokers' decision-making options.
Method: This study is an applied research in terms of purpose and a survey-based research in terms of method, and the data were collected through the Asante-Appia (2020) questionnaire from 94 brokers working in financial brokerage companies in the Tehran Stock Exchange. This study used a structural equation modeling approach using partial least squares to validate its hypotheses.
Findings: The results show that all dimensions of non-financial sustainability disclosure, especially governance disclosure, have a significant positive impact on investment decision-making.
Conclusion: As a result, this research enables brokers to identify potential vulnerabilities related to environmental, social, and governance risks, including regulatory changes, climate impacts, or social conflicts.
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