The role of creditors and audit firms toward the transparency extent of financial information of listed companies: an experimental study on the Vietnamese stock market

Abstract

This study aimed at examining the current transparency extent of financial information of listed companies on the Vietnamese stock market, under evaluation by investors uponinvestigating178 listed company samples on Ho Chi Minh Stock Exchange. The questionnaire assessed the transparency index built on the OECD Corporate Governance Principles (2004) on information disclosure and transparency. This study also explored the role of creditors (based on the financial leverage) and audit firms toward the transparency extent of financial information of Vietnamese listed companies. The study results showed that, according to the judgment of investors, the transparency extent of financial information of Vietnamese listed companies was just at fair good point, factors of financial leverage and audit firms also affected to the transparency extent of the listed companies’ financial information.