Empirical Research About The Effects Of Gem Listed Companies’ Internal Corporate Governance On Voluntary Disclosure

Information disclosure can be divided into mandatory disclosure and voluntary disclosure. Voluntary disclosure means the listed company discloses company’s information based on the company’s image, investor relationship and avoiding litigation risk. There is a close relationship between internal corporate governance and voluntary disclosure. Some foreign and local scholars have done empirical research on this relationship, but they ignored the gem market which the corporate governance is not so good. So this paper takes the gem market as a sample to do some research about the effects of internal corporate governance on voluntary disclosure.Firstly, this paper begins with the conception and classification of the corporate governance and information disclosure, mainly elaborate the process of the construction of the valuation system of the voluntary disclosure used in this paper. Then the paper analyzes the influences of internal governance including the ownership structure, board of directors, board of supervisors and manager incentives on voluntary disclosure. And next selecting188companies listed on the gem market as our samples, examining empirically the effects of ownership structure, board of directors, board of supervisors and manager incentives on voluntary disclosure.The results show that:GEM listed companies have less willing to do voluntary disclosure and there are no big differences between the listed companies about the voluntary disclosure level. Most of the GEM listed companies disclose information about product, human resources, sales growth, new products and technology, the company segment reporting, sales and administrative expenses, interest expense and interest income, inventory, accounts receivable, capital expenditures and so on. The correlation of the independent variables and the dependent variable:managerial ownership and the size of board of directors are negatively related to voluntary disclosure; number of the board of directors’meeting, number of board of supervisors’meeting, the proportion of independent directors and ROA are positively associated with voluntary disclosure; proportion of state ownership, proportion of legal person ownership, ownership concentration, CEO duality, specialized committees, the size of board of supervisors and the size of the company, debt, growth which are belong to the control variables are not related to voluntary disclosure.At last, we base on the result of the paper and the actual situation of the gem market, bring forward policy suggestions on improving internal corporate governance and voluntary disclosure.(1) Introducing institutional investors, optimization, dispersed ownership structure;(2) Improve independent director system, strengthen its independence and establish an independent director’s assessment system and salary system;(3) Improve the board of supervisors system, strengthen the supervision ability of the members of the board of supervisors;(4) Protect the voluntary disclosure of the listed company, and draw up our own safe harbor rules.