In this research, we show a result of the analysis how much disclosed information on the corporation does the investors confirm, when they judge the investment. This analysis has aimed to clarify how disclosed information on the corporation affects the corporate value. The previous research said that, after a corporation caused a security incident, the investors were investing in the corporation that had disclosed risk factors in advance. The purpose of our research is to reveal whether the investors check the disclosed risk factors of the corporate in detail more than whether risk factors had been disclosed in advance or not.
The features of our research approach are two kinds of examination using the data tagged to the risk factors of collected financial statements as disclosed information on the corporation. The first examination verifies the relation between the length of the description risk factors and the stock prices transition after the incident had occurred. The second examination verifies the relation between the description about risk countermeasures and the stock prices transition. We found that there was no difference in the stock prices transition respectively in two experiments.
This shows that the investors did not check whether the description of risk factors was written in detail with large amount of the characters, and whether the corporations were considering countermeasures against the risk. From these results, we have got little evidence that the investors had checked disclosed risk factors of the corporations in detail. These results are unexpected. In addition, the tendency on which stock prices of the corporations with a lot of the description of the risk factors fell was found, though there was low statistical significance. Therefore, our future tasks are to clarify the content of what description of disclosed information is used as the investors judge the investment of the corporations.
About Ryo ISHIZAKI:
Researcher, Fujitsu Laboratories Limited, JAPAN, currently working on developing technologies concerning solutions for business or society in a data mining group.
Education: Bachelor of Science in Engineering and Master of Science in Engineering from Toyohashi University of Technology, Aichi, JAPAN