Audit Quality and Stock Return Co-Movement: Evidence from Vietnam

• 발행기관: 한국유통과학회
• 저자명: Chi Bich Thi PHAM Thu Minh Thi VU Linh Ha NGUYEN Dung Duc NGUYEN
• 간행물 정보: 『The Journal of Asian Finance, Economics and Business(JAFEB)』Vol. 7 No.7, 139~147쪽, 전체 9쪽
• 주제분류: 경제경영 > 경제학
• 파일형태: PDF
• 발행일자: 2020.07.30

영문 초록

This paper aims to explore the relationship between the quality of the audit and the level of stock return co-movement in the context of the Vietnamese emerging market. The empirical study is designed based on the quatitative method and deductive approach. The panel datasetincludes 256listed firmsfrom different industries,with 1115 firm-year observations on Ho Chi Minh City Stock Exchange for the period from 2014 to 2018. In the research, we built the econometric regression model, using stock return synchronicity and audit quality as the dependent and independent variable, respectively. Some control variables are also added to the econometric regression models as they are well-documented in prior research to have an effect on stock price synchronicity. To improve the accuracy of the regression coefficients, besidetheOrdinary Least Squares, we employ theRandom Effects Modeland theFixed Effects Model for better statistical analysis of panel data set. The resultsshow that the quality of the audit is positively correlated to stock price synchronicity. This finding suggests that stock returns of companies with higher quality of the audit are more synchronous with the market. Results for other control variables also support our reasoning for the main findings.

목차

1. Introduction

2. Literature Review

3. Research Methodology

4. Results and Discussion

5. Conclusion

References

키워드

Audit Quality Stock Return Synchronicity Informational Environment Firm-Specific Information Vietnam