Combining databases with unique strengths I show that stray firms, i.e. those lacking a controlling owner, have lower disclosure in financial reports. This finding illustrates managers' preference to withhold information (“the fundamental agency problem”). I contribute to the literature by...

Using unique Swedish disclosure data from 2007 to 2012, this paper reports three important sets of findings with regard to the relationship between firms' voluntary disclosure, external financing, and financial status. First, financially strong firms disclose more than weaker ones. Second, firms...