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Intellectual Capital as the Determinant of Voluntary Disclosure: A Study on Financial Sector of Bangladesh

Alim Al Ayub Ahmed

Abstract


The purpose of this paper is to examine empirically the impact of intellectual capital disclosure (IC) voluntarily. The empirical research is based on companies listed in the Dhaka Stock Exchange. The purpose of this paper is to investigate certain factors, which have not previously been presented in the literature, pertaining to intellectual capital performance in the Bangladeshi Banking and Insurance Sectors. An exploration of literature was performed to pick out the associated IC terminology and this examine adopts the scaffold for IC items developed by Bontis (2003). The aims of this study were to identify the determinants and the extent of intellectual capital disclosure among Bangladeshi listed financial companies. Then disclosure of these terms is examined within the annual reports of the financial year 2011-12 of the selected listed companies. It is exposed that, only 13 terms, out of 39 terms, are disclosed and average IC disclosure by companies in both sectors leftovers low. Banking sector has performed better than insurance sector in terms of number of companies reporting IC terms and average number of IC terms disclosed by a bank is found higher than that of an insurance company. But statistical outcome shows that there is no significant difference in mean number of companies disclosing an item of IC and average number of IC terms disclosed by banking and insurance companies at 5 percent level of significant.

 


Keywords


Voluntary Disclosure, Intellectual Capital, Banking Companies, Insurance Companies, Content Analysis

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References


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