A Research On The Relationship Between Voluntary Disclosure And Investment Return Of Listed Companies

The information disclosure of listed companies consists of two parts,compulsory disclosure and voluntary disclosure.Voluntary disclosure is generally aimed at promoting the image,maintain the investor relationship and avoid lawsuit,which is disclosed by annual report,interim report,website and news media.High quality voluntary disclosure is always related to perfect internal controls and stable Operating status.The investment return of listed companies is affected by many factors,technically speaking;it has relationship with voluntary disclosure.We firstly explain the background and significance of the research,make comparison between compulsory disclosure and voluntary disclosure,and establish the evaluating indicator of the voluntary disclosure level of listed companies on the basis of newly launched laws,internal factors and small investors.Then,we evaluate the voluntary disclosure level of sample companies using these indicators,and analyze the results.Next,we start from theory,analyze the internal mechanism of voluntary disclosure and investment return,put forward 4 hypotheses.In order to estimate these hypotheses,we use mean variance analysis and regression analysis.At last,according to the result of theoretical and demonstrative analysis,we come to a conclusion.Voluntary disclosure and investment return do have a relationship,and this relationship is positive.The voluntary disclosure level of Chinese companies is not high,and it differs from sector to sector.Meanwhile,"small company effect "is positive in China.This article contributes a lot to the formulating of investment strategy,making regulative policies and the promotion of the capital market efficiency.The innovation of this article consists of three parts.When evaluating the level of voluntary disclosure,firstly,we put environment information and company debt information into the evaluating indicator following the SEC's newly launched policy.Secondly,we start with inner factors;make the internal factors the evaluating indicators.Thirdly,combined with the characteristics of Chinese stock market,we assess the voluntary disclosure according to the information demand of small investors.These innovations help reflect the reality and provide more reliable proof for the research.Moreover,according to mean variance theory,we set up comparison group and make up portfolio,calculate the optimal portfolio's return,to testify the relationship between voluntary disclosure and investment return.