Investigating the Effects of Large Block Transactions and Owner-ship Nature on Non-Financial Disclosure

Document Type : Research Paper


Department of Accounting, Arak Branch, Islamic Azad University, Arak, Iran.


Having adequate, sufficient and timely information and data is very important for investors' decision making. Processing information and allocating the asset are two fundamental tasks in the securities market and the stock price is more likely to have the nature of disclosure, information effectiveness and asset allocation efficiency. Thus, in this research, the effects of large block transactions and ownership nature on the non- financial disclosure have been investigated in the corporates accepted in Tehran Stock Exchange. Research population involves the corporates accepted in Tehran Stock Exchange for a 5-year period (2010-2014) that according to research constraints and using the systematic deletion method, the data related to 133 corporates were gathered. In this study, five main hypotheses have been suggested. To analyze the desired data and test the research hypotheses, the software of Eviews has been implemented. Results indicated that the number of large block transactions and nature of ownership are effective in non-financial information disclosure at the whole and the corporates with high transactions, those with low transactions, those in a business group and those in a diverse business group but the effect and explanatory of dependent variables by the independent ones vary at each level.


Main Subjects

[1] Alodari, Q., Moghadam, J., Rezvanifard, S., Moghadam, M., Investigating the Simultaneous and Dynamic Relationship between Volume of Transactions and Stock Returns using Autoregressive Vector Models, Quarterly Journal of Securities Exchange, 2011, 4(15), P. 27-41.
[2] Botosan, C. A., Plumlee, M. A., A Re-examination of Disclosure Level and the Expected Cost of Equity Capital, Journal of Accounting Research, 2002, 40(1), P. 21−40.
[3] Hosseinpour, H., Effective Factords in Mandatory and Voluntary Disclosure and Their Impact on Corporate Value in the Corporates Listed in T
ehran Stock Exchange, M.A. Thesis, Accounting department, Faculty of Economy and Management, Shahid Bahonar University, Kerman, 2011.
[4] Keim, D. B., Madhavan, A., The Upstairs Market for Large-block Transactions: Analysis and Measurement of Price Effects, Review of Financial Studies, 1996, 9(1), P. 1-36.
[5] Lotfi, S., Chale Chale, H., Falah Noroozi, M., Investigating the Relationship between Financial and Non-Financial Factors and Quality of Information Disclosure in the Corporates Listed in Tehran Stock Exchange, International Conference on Economic, Accounting, Management and Social Science, International Center of Academic Communication (ICOAC), University of Szczecin, Poland, 2014, 1, P. 1-15.
[6] Madhani, M. P., Role of Voluntary Disclosure and Transparency in Financial Reporting, The Accounting World, 2009, P. 63-66.
[7] Mahdavi, Q. H., Daryaee, A. A., Alikhani, R. & Maran Joori, M., The Relation of Firm Size, Industry Type and Profitability to Social and Environmental Information Disclosure, Journal of Empirical Research in Accounting, 2015, 14, P. 87-103.
[8] Pan, N., Zhu, H., Block Trading, Information Asymmetry and the Informativeness of Trading, China Finance Review International, 2015, 5(3), P. 215-235.
[9] Pourheydari, O., Hosseinpour, H., Investigating the Relationship between Mandatory and Voluntary Disclosure and corporates’ Stock Value, Financial Management Perspective Journal, 2012, 5, P. 9-28.
[10] Sarlak, N., Mohammadi, A., Investigating the Relationship between Financial and Non-Financial Features of Corporates and Mandatory and Voluntary Disclosure Quality in the Corporates Listed in Tehran Stock Exchange, Accounting Research Journal, 2015, 28, P. 1-22.
[11] Skouloudis, A., Nikoleta, J., Chrisovaladis, M., Konstantinos, E., Trends and Determinants of Corporate Non-Financial Disclosure in Greece, Journal of Cleaner Production, 2014, 68, P. 174-188.
[12] Taheri, H., Impact of Profitability and Ownership Distribution on Voluntary Disclosure, M.A. Thesis, Accounting department, Faculty of Economy and Accounting, Islamic Azad University, Tehran, 2012.
Volume 2, Issue 3
September 2017
Pages 51-66
  • Receive Date: 13 July 2017
  • Revise Date: 20 September 2017
  • Accept Date: 20 September 2017
  • First Publish Date: 20 September 2017