Changes in risk of foreign firms listed in the U.S. following Sarbanes-Oxley
β Scribed by Aigbe Akhigbe; Anna D. Martin; Takeshi Nishikawa
- Book ID
- 113810642
- Publisher
- Elsevier Science
- Year
- 2009
- Tongue
- English
- Weight
- 215 KB
- Volume
- 19
- Category
- Article
- ISSN
- 1042-444X
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π SIMILAR VOLUMES
This study investigates the level of accounting conservatism of a sample of cross-listed firms, American Depository Receipts (ADRs), during the pre-and post-Sarbanes Oxley (SOX) periods. After examining two proxies for accounting conservatism, . The conservatism principle and the asymmetric timeline
At the end of 1997, foreign companies with shares cross-listed in the U.S. had Tobin's q ratios that were 16.5% higher than the q ratios of non-cross-listed firms from the same country. The valuation difference is statistically significant and reaches 37% for those companies that list on major U.S.