The Effect of Ownership Structure on the Disclosure of Sustainable Performance and its Reflection on the Relevance of Accounting Information; an Applied Study on Companies listed in S&P/EGX ESG Index

Kasem, Samir Kasem Mohamed

doi:10.21608/aljalexu.2024.397538

The Effect of Ownership Structure on the Disclosure of Sustainable Performance and its Reflection on the Relevance of Accounting Information; an Applied Study on Companies listed in S&P/EGX ESG Index

Document Type : Original Article

Author

Samir Kasem Mohamed Kasem

Accounting, Faculty of commerce Damanhour university

10.21608/aljalexu.2024.397538

Abstract

This research aims to test the impact of ownership structure on the disclosure of sustainable performance and its reflection on value relevance of a sample of 45 companies listed in S&P/ EGX ESG Index during the period 2019-2023. Ownership structure include many patterns (such as institutional, foreign, public ownership and ownership concentration). Sustainable performance disclosure was measured by the company's quantitative ranking in S&P/ EGX ESG Index. Value relevance was measured by stocks closing prices. The results showed an inverse significant relationship between institutional ownership and disclosure of sustainable performance, a positive significant relationship between foreign ownership and sustainable performance disclosure. The results showed also a non- significant relationship between ownership concentration and public ownership and disclosure of sustainable performance. There is an insignificant positive relationship between sustainable performance and value relevance. When using ownership structure as a moderating variable, it was found that institutional ownership had no effect, while foreign ownership had a negative effect on the relationship between disclosure of sustainable performance and value relevance.

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