Get 20M+ Full-Text Papers For Less Than $1.50/day. Start a 14-Day Trial for You or Your Team.

Learn More →

The Effects of Financial Disclosure Levels on Firms' Choices among Alternative Foreign Stock Exchange Listings *

The Effects of Financial Disclosure Levels on Firms' Choices among Alternative Foreign Stock... University of Washington Shahrokh M. Saudagaran Santa Clara University I. Introduction Firms are increasingly adopting a global perspective. Nowhere is this more evident than in the accelerating internationalizationof the world’s financial capital markets. In just five years the dollar volume of debt and equity securities placed annually by firms outside of their national borders has increased by 900%.’ In the US, primary offerings of foreign debt and equity have averaged over $5 billion per year since 1975.2Between 1974 and 1984, the dollar volume of foreign stocks traded in secondary markets in the US rose 839% (from $3.6 billion to $30.2 billion) while secondary market transactions by foreign investors in US stocks increased by more . than 843% (from $14.7 billion to nearly $124 b i l l i ~ n )A~recent survey lists 472 companies as having active international trading in their equity securities. Once a firm decides to list its equity securities on a foreign exchange, available evidence suggests that the choice of listing location(s) is not random. In fact, major stock exchanges have had varying degrees of success in attracting foreign listings. The contrast between the Zurich and New York stock exchanges is particularly striking. While http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png Journal of International Financial Management & Accounting Wiley

The Effects of Financial Disclosure Levels on Firms' Choices among Alternative Foreign Stock Exchange Listings *

Download PDF
33 pages

Loading next page...
 
/lp/wiley/the-effects-of-financial-disclosure-levels-on-firms-choices-among-GYg60bjgmO

References (36)

Publisher
Wiley
Copyright
Copyright © 1989 Wiley Subscription Services, Inc., A Wiley Company
ISSN
0954-1314
eISSN
1467-646X
DOI
10.1111/j.1467-646X.1989.tb00004.x
Publisher site
See Article on Publisher Site

Abstract

University of Washington Shahrokh M. Saudagaran Santa Clara University I. Introduction Firms are increasingly adopting a global perspective. Nowhere is this more evident than in the accelerating internationalizationof the world’s financial capital markets. In just five years the dollar volume of debt and equity securities placed annually by firms outside of their national borders has increased by 900%.’ In the US, primary offerings of foreign debt and equity have averaged over $5 billion per year since 1975.2Between 1974 and 1984, the dollar volume of foreign stocks traded in secondary markets in the US rose 839% (from $3.6 billion to $30.2 billion) while secondary market transactions by foreign investors in US stocks increased by more . than 843% (from $14.7 billion to nearly $124 b i l l i ~ n )A~recent survey lists 472 companies as having active international trading in their equity securities. Once a firm decides to list its equity securities on a foreign exchange, available evidence suggests that the choice of listing location(s) is not random. In fact, major stock exchanges have had varying degrees of success in attracting foreign listings. The contrast between the Zurich and New York stock exchanges is particularly striking. While

Journal

Journal of International Financial Management & Accounting – Wiley

Published: Mar 1, 1989

There are no references for this article.