Thursday, 1 September 2011

What makes conference calls useful?

What Makes Conference Calls Useful? The Information Content of Managers' Presentations and Analysts' Discussion Sessions

- discussion periods are relatively more informative than presentation periods, and this greater information content is positively associated with analyst following.

- managers provide increased disclosures during the presentation segment when firm performance is poor

=> results are consistent with the notion that active analyst involvement in conference calls increases the information content of the calls, particularly when firm performance is poor

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