Proceedings of the Brawijaya International Conference on Economics, Business and Finance 2021 (BICEBF 2021)

The Moderating Effect of COVID-19 on the Relationship Between Corporate Risk Disclosure and Investor Perceived Confidence

Authors
Amy Yeo Chu May1, *, Ooi Xin Ru2, Felizia Arni Rudiawarni3
1Faculty of Accountancy, Finance and Business Tunku Abdul Rahman University College, Malaysia
2Boardroom Corporate Services (KL) Sdn Bhd, Petaling Jaya, Malaysia
3Faculty of Business and Economics, University of Surabaya, Indonesia
*Corresponding author. Email: yeocm@tarc.edu.my
Corresponding Author
Amy Yeo Chu May
Available Online 28 January 2022.
DOI
10.2991/aebmr.k.220128.035How to use a DOI?
Keywords
Perceived Investor Confidence; Perceived Investor Trust; COVID-19; Financial Risk Disclosure; Operations Risk Disclosure; Strategic Risk Disclosure
Abstract

The COVID-19 pandemic has affected a multifaceted human existence and investors who have to deal with the uncertainty of the stock market is not exempted. Therefore, the study aims to investigate to what extent corporate risk disclosure affects the investors’ perceived confidence and trust. Our study employed partial least square analysis on the research framework and hypotheses through Smart-PLS software using data collected from 108 Malaysian individual investors. This study examined three theories, namely Stakeholder, Signalling and Prospect theories, representing the respective variables of investor perceived confidence and trust, corporate risk disclosures, and COVID-19. Based on the theories, the assumption is that investors (as part of stakeholders) will have an increased perception of more losses in times of crisis if they are not given any assurance and transparent disclosure signals. The extant study revealed a direct positive relationship between financial, operations and strategic risk disclosure to perceived investor confidence and trust. The results also indicated that most investors concurred that COVID-19 significantly impacts investor perceived confidence and trust in relation to the three stated risks.

Copyright
© 2022 The Authors. Published by Atlantis Press International B.V.
Open Access
This is an open access article under the CC BY-NC license.

Download article (PDF)

Volume Title
Proceedings of the Brawijaya International Conference on Economics, Business and Finance 2021 (BICEBF 2021)
Series
Advances in Economics, Business and Management Research
Publication Date
28 January 2022
ISBN
978-94-6239-524-4
ISSN
2352-5428
DOI
10.2991/aebmr.k.220128.035How to use a DOI?
Copyright
© 2022 The Authors. Published by Atlantis Press International B.V.
Open Access
This is an open access article under the CC BY-NC license.

Cite this article

TY  - CONF
AU  - Amy Yeo Chu May
AU  - Ooi Xin Ru
AU  - Felizia Arni Rudiawarni
PY  - 2022
DA  - 2022/01/28
TI  - The Moderating Effect of COVID-19 on the Relationship Between Corporate Risk Disclosure and Investor Perceived Confidence
BT  - Proceedings of the Brawijaya International Conference on Economics, Business and Finance 2021 (BICEBF 2021)
PB  - Atlantis Press
SP  - 265
EP  - 275
SN  - 2352-5428
UR  - https://doi.org/10.2991/aebmr.k.220128.035
DO  - 10.2991/aebmr.k.220128.035
ID  - May2022
ER  -