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http://dx.doi.org/10.15207/JKCS.2019.10.11.345

Information asymmetry and opportunistic behavior of insider : Focusing on fraud event firm  

Lee, Posang (Dept. of Finance & Tax Management, Songwon University)
Publication Information
Journal of the Korea Convergence Society / v.10, no.11, 2019 , pp. 345-352 More about this Journal
Abstract
This paper examines the opportunistic behavior of corporate insiders and analyzes the relationship between equity change and the possibility of delisting. The findings are summarized as follows. First, the larger the stake reduction of insider, the greater the negative excess return after announcement. In the delisting firm group, there is a significant decrease in equity and statistically significant results in the difference test between the comparative groups. The logistic regression analysis showed that the regression coefficient of equity change was negatively statistically significant, indicating a significant correlation between insider share change and the possibility of delisting. These findings are expected not only to provide useful information for investors, but also to be evidence of capital market information asymmetry.
Keywords
Information Asymmetry; Insider; Disclosure; Delisting; Capital Market;
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Times Cited By KSCI : 1  (Citation Analysis)
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