Review of Quantitative Finance and Accounting

, Volume 22, Issue 1, pp 15–28

The Effect of Regulation Fair Disclosure on the Relevance of Conference Calls to Financial Analysts

Authors

  • Afshad J. Irani
    • Whittemore School of Business and EconomicsUniversity of New Hampshire
Article

DOI: 10.1023/B:REQU.0000006184.02165.c5

Cite this article as:
Irani, A.J. Review of Quantitative Finance and Accounting (2004) 22: 15. doi:10.1023/B:REQU.0000006184.02165.c5

Abstract

This study examines the effect of Regulation Fair Disclosure (FD) on the relevance of company-sponsored conference calls. Measuring relevance by a conference call's ability to improve analyst forecast accuracy and consensus, I find larger improvements in both variables during the period surrounding conference calls in the post-FD era versus the pre-FD era. These findings imply that in the post-FD era relatively more about a firm's upcoming earnings becomes known during conference calls, consistent with FD's success in eliminating selective disclosure.

regulation fair disclosureconference callsselective disclosureforecast accuracyforecast consensus

Copyright information

© Kluwer Academic Publishers 2004