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Management Science Letters

ISSN 1923-9343 (Online) - ISSN 1923-9335 (Print)
Quarterly Publication
Volume 3 Issue 2 pp. 705-714 , 2013

A study on relationship between tail risk on earning management in Iranian banking industry Pages 705-714 Right click to download the paper Download PDF

Authors: Mohammad Khodaei Valahzaghard, Aazam Samadi

DOI: 10.5267/j.msl.2012.11.025

Keywords: Revenue management, Tail risk, Tehran Stock Exchange

Abstract: Risk management plays an important role in banking industry and there are literally many investigations to reduce any risk components in this industry. In this paper, we present a study on relationship between tail risk on earning management in Iranian banking industry. In this survey, we use two series of data. The first set is associated with yearly information of 19 different banks over the period 2005-2011 and it contains 114 observations. The second set of data includes weekly historical data of eight banks over the same period 2005-2011. In this survey, there are four objectives to be investigated. The first hypothesis considers the effects of seven independent variables on loan loss allowance as a fraction of total loans. The second model is associated with the effects of two independent variables on realized gains and losses on securities. The third objective is to study the effects of different independent variables with various interruptions on return of banking sectors. Finally, the last model investigates the effects of revenue management on tail risk. The result of this survey indicates that there is no relationship between tail risk and earning management.

How to cite this paper
Valahzaghard, M & Samadi, A. (2013). A study on relationship between tail risk on earning management in Iranian banking industry.Management Science Letters , 3(2), 705-714.

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Journal: Management Science Letters | Year: 2013 | Volume: 3 | Issue: 2 | Views: 2133 | Reviews: 0

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