An integrated analysis of the chairman's letter and firm performance

Detalhes bibliográficos
Autor(a) principal: Leite, Carolina Simões Correia Vieira
Data de Publicação: 2021
Tipo de documento: Dissertação
Idioma: eng
Título da fonte: Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos)
Texto Completo: http://hdl.handle.net/10400.14/36875
Resumo: The impact of the use of complex financial narratives was studied and its link with firm performance. This was done by analysing one of the most important sections of the annual report, the chairman letter. The use of complex financial narratives was measured by the three variables: Fog Index, Flesch Formula and Log(Word Count). These three variables were regressed and analysed against two measures of financial performance (EPS and ROA) and a series of control variables, using a multivariate model. Furthermore, we also studied the use of forward looking words, during periods of economic struggle. Following this analysis our results confirm that non-financial English firms include several complex financial narratives within their chairman letter whenever firm performance declines. In addition, we found a negative relationship between the use of forward-looking words during periods of financial struggle.
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spelling An integrated analysis of the chairman's letter and firm performanceComplex financial narrativesFirm performanceForward-lookingwordsChairman letterNarrativas financeiras complexasDesempenho financeiroFoward-lookingCarta do PresidenteDomínio/Área Científica::Ciências Sociais::Economia e GestãoThe impact of the use of complex financial narratives was studied and its link with firm performance. This was done by analysing one of the most important sections of the annual report, the chairman letter. The use of complex financial narratives was measured by the three variables: Fog Index, Flesch Formula and Log(Word Count). These three variables were regressed and analysed against two measures of financial performance (EPS and ROA) and a series of control variables, using a multivariate model. Furthermore, we also studied the use of forward looking words, during periods of economic struggle. Following this analysis our results confirm that non-financial English firms include several complex financial narratives within their chairman letter whenever firm performance declines. In addition, we found a negative relationship between the use of forward-looking words during periods of financial struggle.O impacto do uso de narrativas financeiras complexas foi estudado e a sua ligação com o desempenho de empresas. Esta análise foi elaborada numa das secções mais importantes do relatório anual, a carta do presidente. O uso de narrativas financeiras complexas foi medido por três variáveis: Fog Index, Flesch Formula e Log (Word Count). Analisámos a relação destas três variáveis com duas medidas de desempenho financeiro (EPS e ROA) e uma série de variáveis de controlo, usando um modelo multivariado. Além disso, também estudamos o uso de forward-looking words durante períodos de crise financeira. Após essa análise, os nossos resultados confirmam que as empresas inglesas não financeiras incluem várias narrativas financeiras complexas na sua carta do presidente sempre que o desempenho da empresa diminui. Além disso, encontramos uma relação negativa entre o uso de palavras forward-looking words durante períodos de dificuldades financeiras.Alves, Paulo Alexandre PimentaVeritati - Repositório Institucional da Universidade Católica PortuguesaLeite, Carolina Simões Correia Vieira2022-03-03T18:31:32Z2021-12-092021-092021-12-09T00:00:00Zinfo:eu-repo/semantics/publishedVersioninfo:eu-repo/semantics/masterThesisapplication/pdfhttp://hdl.handle.net/10400.14/36875TID:202894444enginfo:eu-repo/semantics/openAccessreponame:Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos)instname:Agência para a Sociedade do Conhecimento (UMIC) - FCT - Sociedade da Informaçãoinstacron:RCAAP2023-07-12T17:42:19Zoai:repositorio.ucp.pt:10400.14/36875Portal AgregadorONGhttps://www.rcaap.pt/oai/openaireopendoar:71602024-03-19T18:29:58.906014Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos) - Agência para a Sociedade do Conhecimento (UMIC) - FCT - Sociedade da Informaçãofalse
dc.title.none.fl_str_mv An integrated analysis of the chairman's letter and firm performance
title An integrated analysis of the chairman's letter and firm performance
spellingShingle An integrated analysis of the chairman's letter and firm performance
Leite, Carolina Simões Correia Vieira
Complex financial narratives
Firm performance
Forward-lookingwords
Chairman letter
Narrativas financeiras complexas
Desempenho financeiro
Foward-looking
Carta do Presidente
Domínio/Área Científica::Ciências Sociais::Economia e Gestão
title_short An integrated analysis of the chairman's letter and firm performance
title_full An integrated analysis of the chairman's letter and firm performance
title_fullStr An integrated analysis of the chairman's letter and firm performance
title_full_unstemmed An integrated analysis of the chairman's letter and firm performance
title_sort An integrated analysis of the chairman's letter and firm performance
author Leite, Carolina Simões Correia Vieira
author_facet Leite, Carolina Simões Correia Vieira
author_role author
dc.contributor.none.fl_str_mv Alves, Paulo Alexandre Pimenta
Veritati - Repositório Institucional da Universidade Católica Portuguesa
dc.contributor.author.fl_str_mv Leite, Carolina Simões Correia Vieira
dc.subject.por.fl_str_mv Complex financial narratives
Firm performance
Forward-lookingwords
Chairman letter
Narrativas financeiras complexas
Desempenho financeiro
Foward-looking
Carta do Presidente
Domínio/Área Científica::Ciências Sociais::Economia e Gestão
topic Complex financial narratives
Firm performance
Forward-lookingwords
Chairman letter
Narrativas financeiras complexas
Desempenho financeiro
Foward-looking
Carta do Presidente
Domínio/Área Científica::Ciências Sociais::Economia e Gestão
description The impact of the use of complex financial narratives was studied and its link with firm performance. This was done by analysing one of the most important sections of the annual report, the chairman letter. The use of complex financial narratives was measured by the three variables: Fog Index, Flesch Formula and Log(Word Count). These three variables were regressed and analysed against two measures of financial performance (EPS and ROA) and a series of control variables, using a multivariate model. Furthermore, we also studied the use of forward looking words, during periods of economic struggle. Following this analysis our results confirm that non-financial English firms include several complex financial narratives within their chairman letter whenever firm performance declines. In addition, we found a negative relationship between the use of forward-looking words during periods of financial struggle.
publishDate 2021
dc.date.none.fl_str_mv 2021-12-09
2021-09
2021-12-09T00:00:00Z
2022-03-03T18:31:32Z
dc.type.status.fl_str_mv info:eu-repo/semantics/publishedVersion
dc.type.driver.fl_str_mv info:eu-repo/semantics/masterThesis
format masterThesis
status_str publishedVersion
dc.identifier.uri.fl_str_mv http://hdl.handle.net/10400.14/36875
TID:202894444
url http://hdl.handle.net/10400.14/36875
identifier_str_mv TID:202894444
dc.language.iso.fl_str_mv eng
language eng
dc.rights.driver.fl_str_mv info:eu-repo/semantics/openAccess
eu_rights_str_mv openAccess
dc.format.none.fl_str_mv application/pdf
dc.source.none.fl_str_mv reponame:Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos)
instname:Agência para a Sociedade do Conhecimento (UMIC) - FCT - Sociedade da Informação
instacron:RCAAP
instname_str Agência para a Sociedade do Conhecimento (UMIC) - FCT - Sociedade da Informação
instacron_str RCAAP
institution RCAAP
reponame_str Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos)
collection Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos)
repository.name.fl_str_mv Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos) - Agência para a Sociedade do Conhecimento (UMIC) - FCT - Sociedade da Informação
repository.mail.fl_str_mv
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