Empirical Study On The Impact Of The Punishment Of Illegal Information Disclosure On Listed Companies' Share Price

As an information market, stock market requiring listed companies to disclosure information timely, open, accurately and comprehensively. The disclosure of information as a cornerstone for the healthy development of securities markets on the long-term development of China's stock market has played an extremely important role. Strengthen the information disclosure of listed companies to improve transparency of listed companies to protect the interests of investors and promoting market healthy development has been the focus of regulatory agencies. However, China's stock market information disclosure of listed companies is still illegal despite repeated prohibitions, not only brought huge economic losses to medium and small investors, but also ripe for China's stock market stability and healthy development constitutes a serious threat.In April 2002, Chen Bin, Li Xing-min, "Sample of status of individual investors in China's stock market ", the survey found that a great proportion of investors is not satisfied with the current stock market status of protecting the interests of individual investors, accounting for nearly 80%. How to effectively protect from information disclosure violations and how to protect the interests of investors has become the focus of attention.This paper use descriptive statistical method analyze the types of information disclosure violations of listed companies and types of penalties, and used empirical analysis to study the excess rate of return after a relatively short period of the announcements on penalties, the price shocks of the penalties announcements, and deterrent of the punishment.This paper is divided into five parts, the introduction is a main brief introduction to the papers, specifically including research background and of the problem, research methods, research framework and main content and the lack and innovation of the research.The second part introduce information disclosure system and the offending. First, I give a summary of what is the information disclosure system and the changes in China's information disclosure system, and then discusses several types of irregularities of disclosure of information, then disclosure of information theory analysis is discussed, Finally, I give a comprehensive summary of relevant literature of information disclosure of listed companies violation.Part III is the statistical description of China's stock market information disclosure violations. First of all, analyze the types of penalties of sample; Second, using descriptive statistics method to study the main features of the samples'behavior.Part IV is the empirical analysis of the impact on stock price. This paper first analyzes the effect of punishment. Second, it analyzes the reasons for bringing punitive effect, further analysis of the deterrence of punishment.Part V is the conclusions and policy recommendations. Proposes strengthening the supervision of the information disclosure of listed companies, increase the punishment to prevent recidivism, strengthen internal control of listed companies and corporate governance, and strengthen price-sensitive information disclosure system, establish a sound mechanism of civil compensation.