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What is the effect of publishing non-financial information on the market?

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Publishing non-financial information, such as sustainability reports, can have a significant impact on the market. Research suggests that the value of sustainability reports increases when nonfinancial information is integrated within a financial context, especially for firms facing greater information asymmetry . However, contradictory findings exist regarding the direct relationship between the level of nonfinancial information disclosure and market performance . Non-financial information disclosure is crucial for improving corporate governance and reporting quality, as stakeholders often find non-financial information more interesting than financial data . Moreover, the value relevance of non-financial reporting, particularly related to sustainable development, has been shown to positively influence companies' market value, emphasizing the importance of publishing such information .

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Journal Article•DOI Asymmetric Information and R&D Disclosure: Evidence from Scientific Publications Stefano Horst Baruffaldi, Markus Simeth, David Wehrheim - Show less +2 more 23 Mar 2023-Management Science 1 Citations	Scientific publications as non-financial information increase when firms face increased information asymmetry, benefiting from higher investor attention, without significant changes in financial disclosure or patenting.
Journal Article•DOI Disclosure of non-financial information by companies as an effective tool for corporate governance Lyudmila M. Korchagina, G. D. Charyyarova - Show less +1 more 01 Jan 2023-Èkonomika i upravlenie: problemy, rešeniâ	Publishing non-financial information enhances corporate governance by providing stakeholders with valuable insights beyond financial performance, potentially influencing market perception and decision-making positively.
Journal Article•DOI Non-financial information and company market value Matteo Pozzoli, M. Raffaele - Show less +1 more 01 Jun 2022-Management control	Publishing non-financial information, as per EU directive, does not significantly impact market value for Italian listed companies, as shown in the 2017-2019 study.
Journal Article•DOI The Value Relevance of Non-Financial Reporting in Determining the Market Value of Equity Elena Nechita 25 May 2021 1 Citations	Publishing non-financial information, particularly related to sustainable development, increases the relevance and impact on the market value of companies, as evidenced in the study on Bucharest Stock Exchange-listed firms.
Open access•Journal Article•DOI A large-scale analysis of the heterogeneity of markets' reactions to the disclosure of nonfinancial information 29 Jun 2023-Journal of sustainable finance & investment	The effect of publishing non-financial information on the market varies based on information integration and asymmetry, with positive impacts being long-lasting and negative impacts being short-lived.

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