Recent literature contains a number of studies that provide evidence that improvements in the performance related to business investments are associated with the main positive results of the implementation of international financial reporting standards (hear after IFRS). This study is an effort trying to summarize empirical evidences in current literature about the effect of the IFRS adoption on investment management. We summarize literature on the effect of IFRS a) in a European setting b) in a worldwide setting. We especially refer to the effect of European Crisis on Investment Management. We summarize evidence on the impact of IFRS adoption worldwide on investments assets, foreign direct investments (FDIs), cross boarder investments (Merger and Acquisition activities) and foreign mutual fund ownership. We finally present some evidence on the impact of IFRS adoption on US home bias and try to document the impact of IFRS adoption on international listing and IPOS in global markets.
Marquez-Ramos, L. (2008) The Effect of IFRS Adoption on Trade and Foreign Direct Investments. International Trade and Finance Association Working Papers, Paper 19. http://services.bepress.com/cgi/viewcontent.cgi?article=1124&context=itfa
Schleicher, T., Tahoun, A. and Walker, M. (2010) IFRS Adoption in Europe and Investment-Cash Flow Sensitivity: Outsider versus Insider Economies. The International Journal of Accounting, 45, 143-168.
Lenger, S., Ernsberger, J. and Stiebale, J. (2011) The Impact of IFRS on Firms’ Investment Efficiency European Evidence on Private and Public Firms. The Illinois International Journal of Accounting Symposium, Porto Carras, Halkidiki, 23-25 June 2011. http://business.illinois.edu/zimmerman/2011-illinois-international-journal-of-accounting-symposium/
André, P., Filip, A. and Marmousez, S. (2014) The Impact of IFRS on the Relationship between Conservatism and Investment Efficiency. Comptabilité Contrôle Audit, 20, 101-124. https://doi.org/10.3917/cca.203.0101
Chen, C., Young, D. and Zhuang, Z. (2013) Externalities of Mandatory IFRS Adoption: Evidence from Cross-Border Spillover Effects of Financial Information on Investment Efficiency. The Accounting Review, 88, 881-914. https://doi.org/10.2308/accr-50384
Banker, R.D., Huang, R. and Li, Y. (2014) Do Accounting Standards Matter for Firm Productivity? Evidence from Mandatory IFRS Adoption. Working Paper. https://papers.ssrn.com/sol3/papers.cfm?abstract_id=2429121
Márquez-Ramos, L. (2011) European Accounting Harmonization: Consequences of IFRS Adoption on Trade in Goods and Foreign Direct Investments. Emerging Markets Finance and Trade, 47, 42-57.
Campello, M., Giambona, E., Graham, J.R. and Harvey, C.R. (2012) Access to Liquidity and Corporate Investment in Europe during the Financial Crisis. Review of Finance, 16, 323-346.
Boumediene, S.L., Nafti, O. and Boumediene, E. (2014) The Impact of IFRS Adoption during the 2008 Financial Crisis on the Relationship between Yield and Accounting Variables. Accounting & Taxation, 6, 51-67.
Balfoussia, H. and Gibson, H.D. (2016) Firm Investment and Financial Conditions in the Euro Area: Evidence from Firm-Level Data. Bank of Greece, Eurosystem, Working Papers, 208.
Doukakis, L., Kapellas, K. and Siougle, G. (2017) The Effect of IFRS on Investment Decisions: European Evidence during Crisis and non Crisis Economic Conditions. SSRN Paper. https://papers.ssrn.com/sol3/papers.cfm?abstract_id=3020094
Florou, A. and Pope, P.F. (2012) Mandatory IFRS Adoption and Institutional Investment Decisions. The Accounting Review, 87, 1993-2025. https://doi.org/10.2308/accr-50225
Amiram, D. (2012) Financial Information Globalization and Foreign Investment Decisions. Journal of International Accounting Research, 11, 57-81. https://doi.org/10.2308/jiar-50282
Biddle, G.C., Callahan, C.M., Hong, H.A. and Knowles, R.L. (2015) Do Adoptions of International Financial Reporting Standards Enhance Capital Investment Efficiency? Working Paper. https://papers.ssrn.com/sol3/papers.cfm?abstract_id=2353693
Louis, H. and Urcan, O. (2014) The Effect of IFRS on Cross-Border Acquisitions. Working Paper. https://papers.ssrn.com/sol3/papers.cfm?abstract_id=2164995
Brüggemann, U., Daske, H., Homburg, C. and Pope, P.F. (2012) How do Individual Investors React to Global IFRS Adoption? Working Paper, August 1, 2012, AAA 2010 Financial Accounting and Reporting Section (FARS) Paper. https://papers.ssrn.com/sol3/papers.cfm?abstract_id=1458944
Francis, J.R., Huang, S.X. and Khurana, I.K. (2012) The Role of International GAAP in Cross-Border Mergers and Acquisitions. Working Paper, September 17, 2012. https://papers.ssrn.com/sol3/papers.cfm?abstract_id=2131472
DeFond, M., Hu, X., Hung, M. and Li, S. (2011) The Impact of Mandatory IFRS Adoption on Foreign Mutual Fund Ownership: The Role of Comparability. Journal of Accounting and Economics, 51, 240-258. https://doi.org/10.1016/j.jacceco.2011.02.001
Gordon L.A., Loeb M.P. and Zhu, W. (2012) The Impact of IFRS Adoption on Foreign Direct Investment. Journal of Accounting and Public Policy, 31, 374-398. https://doi.org/10.1016/j.jaccpubpol.2012.06.001
Chen, C.P., Ding, Y. and Xu, B. (2014) Convergence of Accounting Standards and Foreign Direct Investment. The International Journal of Accounting, 49, 53-86. https://doi.org/10.1016/j.intacc.2014.01.007
Lee, G. and Fargher, N. (2010) Did the Adoption of IFRS Encourage Cross-Border Investment? Working Paper. https://papers.ssrn.com/sol3/papers.cfm?abstract_id=1686571
Khurana, I.K. and Michas, P.N. (2011) Mandatory IFRS Adoption and the U.S. Home Bias. Accounting Horizons, 25, 729-753. https://doi.org/10.2308/acch-50075
Shima, K.M. and Gordon, E.A. (2011) IFRS and the Regulatory Environment: The Case of U.S. Investor Allocation Choice. Journal of Accounting and Public Policy, 30, 481-500. https://doi.org/10.1016/j.jaccpubpol.2011.07.001
Hong, H.A., Hung, M. and Lobo, G.J. (2014) The Impact of Mandatory IFRS Adoption on IPOs in Global Capital Markets. The Accounting Review, 89, 1365-1397. https://doi.org/10.2308/accr-50720
Chen, L., Ng, J. and Tsang, A. (2015) The Effect of Mandatory IFRS Adoption on International Cross-Listings. The Accounting Review, 90, 1395-1435. https://doi.org/10.2308/accr-50982