| The "Opinions of the China Securities Regulatory Commission on Further Promoting the IPO System Reform"(2013) issued by The China securities regulatory commission indicate that the system of IPO will transfer from "approval system" to "registered system". The release of this paper lightened the issues of IPO up immediately. With IPO system quietly advancing to registration system, basic system of the a-share market is improving at the same time, the "securities law" revised had cause a tremendous response. In fact, China’s investors are lacking in confidence in the present stage of our country securities market, and the turbulence in the a-share market constantly deepen the investors’concerns for the market. A large number of big shareholders and managers in the company instantly become rich after IPO and stock price is fluctuating with whole market or the industries, which show a low market resources allocation efficiency. With some other long-standing problems in China’s stock market all together, people are carrying doubt about whether "registered system" will be carried out successfully. Under this background, this paper is going to reveal the efficiency of the stock market right after a company go public and taking accounting information quality as key point to study on how to improve the situation.IPO stock price informativeness refers to the amount of firm-specific information capitalized in stock price. In other words, it means how much a company’s stock price is influenced by firm-specific information. Stock synchronicity, however, is a tough problem that has been bothering China’s stock market for quite a long time, which also being affected by another tough problem in stock market——the quality of accounting information.In the stock market, investors collect information and make investment decisions accordingly. Continuous trading makes stock price contains firm-specific information of the company. Generally speaking, when the company’s accounting information quality is low, it means that the company management tend to hide the company’s actual situation, the cost for external investors to get access to firm-specific information is high. When the external investors.are facing extremely high cost, they are reluctant to put more effort to collect information on the firm level, but to judge the value of a company by average value in the whole market, it is the so-called "lemon market". In this regard, the market efficiency is conspicuously low. At the same time, this paper argues that there are two ways that investors can get access to the IPO company information, one is through prospectus, the other is through securities analyst’s incremental information. So in terms of quality of accounting information, there are also two ways it can affect IPO price informativeness, a direct impact on investors and indirect one of analysts on investors value judgment and decision making. Securities analyst in the stock market plays a dual role of accounting information demanders and forecast information providers. So, considering the close relationship between securities analyst forecast and the quality of accounting information, and their impact on the IPO price informativeness, this paper introduce securities analyst forecast as an important relevant factor. To sum up, the accounting information quality and analysts predict theoretically for IPO have significant impact on IPO price informativeness, however, under the special background of the IPO market in China, the above two influence on IPO shares information content is still subject to further inspection, which is this article’s research subject.Based on the efficient market, information asymmetry and the behavioral finance theory, this paper describes the inner relationship between our subjects. Then using those listed companies which go public from 2009 to 2014 in the a-share as research samples, through the synchronicity of stock prices and market changes to measure IPO stock price informativeness, through empirical analysis to support hypothesis. The research results show that China’s a-share market IPO stock price firm-specific information ratio was 70.1% on average, IPO stock price informativeness index five-year averages of 1.182, during the study period, the IPO stock price informativeness increases yearly. The accounting information quality and the IPO stock price informativeness was significantly positive correlation, therefore, the accounting information quality has an important impact on stock price informativeness. The securities analysts forecast accuracy and IPO stock price informativeness has significant positive correlation. Even with ordinary investors largely based on the same accounting and other aspects of information, as an important information intermediary capital markets, securities analyst can still use their professional knowledge and information search and processing skills to provide useful information. Through further study found that the improvement of quality of accounting information will weaken the analysts predict behavior’s influence on IPO stock price informativeness. This paper found that with the improvement of quality of accounting information, the negative correlation relationship between securities analyst forecast and IPO stock price informativeness has reduced significantly. The improvement of accounting information quality, weaken the role of analyst forecasts, the investors pay more attention to the information of the company listed directly, show in the capital market still needs to be based on accounting information quality, it also to some extent reflects the investors have a certain value judgment in our country.In this paper, the research not only enrich the quality of accounting information, analysts predict and shares the information content of the literature, but also provide a theoretical basis for the development of the Chinese stock market and the implementation of the registration system. |
PDF Full Text Request