Detailed Information

Cited 0 time in webofscience Cited 0 time in scopus
Metadata Downloads

Affiliated Mutual Fund Investments and Discretionary Accruals: Evidence from Korea

Authors
Mo, Kyoung WonLee, K.Y.
Issue Date
Nov-2021
Publisher
Elsevier Ltd
Keywords
Chaebol; Discretionary accruals; Financial reporting quality; Group affiliation; Mutual fund
Citation
Finance Research Letters, v.43
Journal Title
Finance Research Letters
Volume
43
URI
https://scholarworks.bwise.kr/cau/handle/2019.sw.cau/47587
DOI
10.1016/j.frl.2021.101989
ISSN
1544-6123
1544-6131
Abstract
This paper examines the effect of mutual fund investments on financial reporting quality by focusing on their affiliation with firms. Using Korean public companies between 2008 and 2014, we find that firms tend to have greater discretionary accruals when they are invested by mutual funds that are in the same business group. We further show that investments from affiliated mutual funds increase the likelihood of income-increasing earnings management while decreasing income-decreasing earnings management. However, the results suggest that mutual fund investment itself does not affect financial reporting quality. Our findings are robust with various model specifications and to endogeneity concerns. © 2021
Files in This Item
There are no files associated with this item.
Appears in
Collections
College of Business & Economics > School of Business Administration > 1. Journal Articles

qrcode

Items in ScholarWorks are protected by copyright, with all rights reserved, unless otherwise indicated.

Related Researcher

Researcher Mo, Kyoungwon photo

Mo, Kyoungwon
경영경제대학 (경영학부(서울))
Read more

Altmetrics

Total Views & Downloads

BROWSE