Corporate governance and risk disclosure: evidence from Saudi Arabia
Research output: Contribution to journal › Article
Design/Methodology/Approach - This investigation uses manual content analysis to measure the levels of risk disclosure in all Saudi listed banks from 2009 to 2013. It also uses ordinary least squares regressions analysis to examine the joint effect of corporate governance and demographic traits on risk disclosure.
Results - The empirical findings show that external ownership, audit committee meetings, gender, size, profitability and board size are primary determinants of voluntary risk disclosure practices in Saudi listed banks. The remainder of the independent variables of both corporate governance mechanisms and demographic traits are insignificantly correlated with voluntary risk disclosure practices in Saudi listed banks. This study supports upper echelons theory and further encompasses demographic research into the risk disclosure field. Potential Implications- The empirical findings offer several important implications by reporting to banks’ stockholder, regulatory bodies and any other interested group on the importance of corporate governance and demographic determinants, which can be used to augment risk reporting in the banking industry. This study also backs upper echelons theory and encourages further demographic research into the risk disclosure field. Originality- To the best of the researcher’s knowledge, no prior research has been conducted on the determinants of risk disclosure in Saudi Arabian listed banks. Therefore, this is the first study to investigate the determinants of risk disclosure in the context of Saudi Arabia.
|Journal||Corporate Ownership and Control|
|Early online date||22 Jan 2016|
|Publication status||Published - Feb 2016|
- HUSSAINEY_cright_23A_Corporate Governance and Risk Disclosure Evidence from Saudi Arabia
Rights statement: This is the post-print version of an article published in Corporate Ownership and Control for which permission to publish in this Institutional Repository has been granted by the Publisher, ©Virtus Interpress
Accepted author manuscript (Post-print), 634 KB, PDF document