Research Of The Impact Of Short Selling On The Quality Of Accounting Information

Western capital markets have established relatively complete systems and systems,and the securities lending transactions that have benefited from falling stock prices have played an increasingly important role in information governance for listed companies.However,some companies listed overseas in China do not pay enough attention to the quality of information.They distorted information for self-interested motives and were perceived by short-selling institutions,which in turn became the goal of short-selling institutions.In 2010,China ' s official pilot of the margin financing and securities lending business ended its unilateral market status for many years.The information risk of listed companies increases,so early detection,early warning,and early response should be made in the face of risks.To sum up,research on the current situation of China's securities lending transactions,form a correct understanding of securities lending transactions,and rationally plan the future development of securities lending transactions,which is meaningful for the development of China's market.Compared with the western market,China's market is in a period of transition,and the time for introducing securities lending is short.The method of selecting the securities is to be selected in batches and gradually expanded.This policy change is not affected by other factors related to accounting quality,and is a good exogenous shock of quasi-natural experiments.This paper first introduces the theoretical basis of the impact of securities trading on the quality of accounting information-principal-agent theory,information asymmetry theory,signal transmission theory and market effective theory,and then on the impact of securities trading on the quality and quantity of accounting information,Research hypotheses are proposed in terms of the impact of securities lending transactions on information quality under different media attention levels and different product market competition levels.This paper comprehensively studies theories and hypotheses to select research variables,and uses the 2010-2016 China market data to study the impact of securities trading on the quality of accounting information.The study found that the impact of securities lending on the quality of information is that after the introduction of securities lending transactions,the quality of the underlying company's information has been significantly improved;the impact of securities lending on the quality of information is: The bigger the target company,the more significant the improvement in information quality.At the same time,through the research on the impact of different levels of product market competition and media attention on the quality ofinformation on securities trading,it is found that the weaker the market competition of products,the more positive impact of securities trading on information quality.The lower the media attention,the more positive the impact of securities trading on the quality of information.Therefore,the securities trading has not only the dual impact of quality and quantity,but also the intensity of such influence in different media attention or product market competition environment,that is,securities lending and media attention and product market competition in accounting information.There is an alternative relationship in terms of impact.The securities lending transaction can make up for the adverse effects of internal control defects and external supervision on the quality of accounting information.Subsequently,this paper probes into the two channels of analyst forecast accuracy and executive overconfidence that affect the quality of securities trading.The study found that in internal corporate governance,securities lending transactions improve the company's information quality by reducing the degree of executive overconfidence;in external corporate governance,securities lending transactions enhance the company's information quality by improving analyst prediction accuracy.Finally,the paper makes recommendations based on the results.The innovation and contribution of this paper lies in discovering the new adjustment factors and intermediary mechanisms of the impact of securities trading on information quality,expanding the research on securities trading at the company level,enriching the research on information quality,and also the trading of securities in China.The development provides evidence and advice.