Download or read book Auditor's Reporting and Investor Behaviour written by Iraê Maria Guilherme Kaiser and published by . This book was released on 2018 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt: Over time, businesses have become more complex and financial reporting has progressed. As a result, the uncertainty, judgements and estimations that underpin financial statements have also increased. Thus, to reduce the information risk, one of investor's main approaches is to rely on audited financial statements. The auditor's report presents an opinion on the financial statements, which presents to the investor an opinion on the financial statements. However, the auditor's report has up until now been a standard pass/fail report, without more detailed information on how the audit procedures where conducted, or companies specific risk. Investors and other users of financial statements have demanded greater transparency and insight into auditing, because auditors are professionals who conduct their work behind the scenes. As a response, the International Auditing and Assurance Standards Board (IAASB) introduced changes to the auditor's report. This thesis investigates the usefulness of the information delivered to investors and whether there is a reduction in information asymmetry. A quantitative research approach in addition to panel data regressions analysed a sample of 252 listed companies in the Brazilian stock market, for the years 2015 and 2016. The results showed that a reduction in information asymmetry occurred after the implementation of the new disclosure regime. Future studies could examine the audit report impact closely to others factors, and also an qualitative research might give better inside from the investors perspective.