Risk Categories Disclosed in the Administration Reports of Brazilian Companies with ADRs
PDF (Português (Brasil))

Keywords

Disclosure. Risk categories. Administration reports.

How to Cite

Zonatto, V. C. da S., & Beuren, I. M. (2010). Risk Categories Disclosed in the Administration Reports of Brazilian Companies with ADRs. Review of Business Management, 12(35), 141–155. https://doi.org/10.7819/rbgn.v12i35.527

Abstract

The study aims to find the categories of risks disclosed in the Administration Reports of Brazilian companies with the issuance of ADR's. The research is characterized as descriptive, accomplished through documentary analysis. The sample includes 28 Brazilian companies with the issuance of American Depositary Receipt (ADR's) in the Stock Exchange of New York (USA). We have tried to identify the categories of risk, presented by the companies surveyed in the Administration Reports (AR) of 2007. Seven categories of corporate risks were considered, identified through COSO (2004) methodology: strategic risks, market risks, credit risks, liquidity risks, operational risks, legal risks and image risks. The survey results show that in general there is no standardization of the types of risks disclosed by the companies. A total of 14 types of risks have been identified. The predominant category in the disclosure was the operational risk, with 20.72% of the observations. There was no disclosure of image risk in the AR of the companies surveyed. It was found that 19 companies, 67.86% of the surveyed companies, demonstrate some kind of risk to which they are exposed. On the other hand, nine companies (32.14%) did not show any kind of risk.

Key words: Disclosure. Risk categories. Administration reports.

https://doi.org/10.7819/rbgn.v12i35.527
PDF (Português (Brasil))

If a paper is approved for publication, its copyright has to be transferred by the author(s) to the Review of Business Management – RBGN.

Accordingly, authors are REQUIRED to send RBGN a duly completed and signed Copyright Transfer Form. Please refer to the following template: [Copyright Transfer]

The conditions set out by the Copyright Transfer Form state that the Review of Business Management – RBGN owns, free of charge and permanently, the copyright of the papers it publishes. Although the authors are required to sign the Copyright Transfer Form, RBGN allows authors to hold and use their own copyright without restrictions.

The texts published by RBGN are the sole responsibility of their authors.

The review has adopted the CC-BY Creative Commons Attribution 4.0 allowing redistribution and reuse of papers on condition that the authorship is properly credited.