The study investigates regulation impact on earnings quality in Brazilian firms. The Brazilian context provides an ideal set of conditions to explore this issue, such as code law, weak institutional environment and weak enforcement. In view of the scenario, we expected the presence of regulatory...

This study analyzes Ohlson's Linear Information Dynamic (LID) and evaluates the effect of other information on the abnormal earnings series. It is tested the hypotheses that industry structure and market share have significant effects on abnormal earnings of the following period, with Ohlson's...

In this paper we contribute to the literature on accounting-based fundamental analysis (Piotroski, 2000; Monharam, 2005) by specifically addressing the restrictions to arbitrage hypothesis. Using a unique dataset from Brazil where financial statements are uninformative, stock markets synchronous -...

In this paper we show that the results obtained by accounting-based fundamental analysis strategies observed in the US market (Piotroski, 2000 and Mohanram, 2005) cannot be completed extended to other markets. Using Brazil as an experiment, standard tests show the apparent usefulness of...

We investigate the role played by limits to arbitrage (Shleifer, 2000; Shleifer and Vishny, 1997) on the abnormal returns earned by accounting-based fundamental analysis reported by the literature in the US markets (Piotroski, 2000; Monharam, 2005). We hypothesize that if limitations on the actions of...