The Impact of the Opinions of the Independent Auditors on the Investor Decisions in Banking Sector: An Empirical Study on the Banks Operating in Turkey

Abstract

The opinion of the independent audit has significant importance in decreasing the information risk and increasing the reliability of the information submitted in the financial tables that form the basis of the decisions reached by financial information users. This study is focused on at which degree the individual and institutional investors with whom the banks are in trading relationship is be affected by the opinions of the auditors given as a result of an independent audit. Whether the deposits imbursed by the people and institutions to the banks as the processes reflecting the trading relations of the banks, the credits they get and the total assets that are affected depending on them, net interest income, trading profit/loss and net profit/loss items and the prices of equity share are affected from these opinions has been examined in the study, The scope of data includes activities of 10 different banks operating in Turkey between the years 2006-2014 have been examined and dynamic panel data model has been used. In the study, it is shown that the independent audit report opinions reinforce the investor decision in the same direction based on given variables.

Predicting Auditor Opinion and Stock Price Using Machine Learning Techniques: Evidence from Egypt

“…Otherwise (Hoti et al, 2012) deduced from the findings of their study that the movement of stock values is influenced by auditors' opinions. In their research report (Robua et al, 2015), made the unequivocal claim that the audit report's information significantly affects stock return (Rena, et al, 2016), and came to the additional conclusion in their study that the investor's choice is supported by the auditor's opinion. Ha.…”

“…The prevailing belief is that since the audit opinion represents a warning about the viability of the company, investors should find value in it. Due to their access to internal company information and proficiency in evaluating going-concern issues, auditors are able to give the market an indication (Rena, et al, 2016).…”

“…Numerous researches (Rena, et al, 2016;Robua et al, 2015;Hoti et al, 2012) statements affects the company's stock price. Otherwise (Hoti et al, 2012) deduced from the findings of their study that the movement of stock values is influenced by auditors' opinions.…”

Análisis de la información financiera en torno al informe del auditor de las empresas del MILA

“…Desde la perspectiva del inversor, el dictamen del auditor puede significar una herramienta de gran utilidad para la toma de decisión de invertir en una entidad (Robu & Ioan, 2015;Rena, Genc & Ozkul, 2016;Al-Attar, 2017); sin embargo, algunos autores concluyen que el contenido del dictamen es insuficiente para apoyar al potencial inversor en la toma de decisiones (Majeed, Al, Naim & Salah, 2012), ya que la fuente para la emisión del dictamen es netamente la información financiera. Por el contrario, autores como Hassan y Adeiza (2014) y Robu e Ioan (2015) consideran que el dictamen impacta en la decisión del inversionista, no obstante, este impacto es mayor dependiendo del tamaño de la firma auditora, en la medida en que un informe de auditoría proveniente de alguna de las llamadas Big Four otorga mayor confianza y credibilidad respecto a la información emitida.…”

Relación rotación del auditor, calidad de auditoría y variables financieras en las empresas que cotizaron en la bolsa de valores de Colombia entre 2012 y 2019

“…Al respecto, se cuenta con posturas que respaldan la rotación tanto de rmas como de profesionales, las cuales mencionan que esta evita la familiaridad entre la rma de auditoría y el cliente, a la vez que promueve la independencia del auditor (Rena et al, 2016;Harber y Marx, 2019). Contrario a lo anterior, existe la postura en la que se señala que la rotación del auditor es desfavorable para ambas partes, en la medida en que limita el nivel de conocimiento que el profesional de auditoría pueda alcanzar de los procesos y las características propias de la compañía auditada, lo que traduce mayores costos a mediano y largo plazo.…”