The Impact of Using the Integrated Reports Approach in Making the Decision of Investment in Shares in the Egyptian Stock Market. 'An Empirical study'

Ahmed, Nora Salah Megahed; Ali, Gamal; Abdelaqtti, Heba

doi:10.21608/bjhs.2024.308408.1235

The Impact of Using the Integrated Reports Approach in Making the Decision of Investment in Shares in the Egyptian Stock Market. 'An Empirical study'

Document Type : Original Article

Authors

Department of Accounting Faculty of Commerce and bassnas Andmastraion, Halawn University

10.21608/bjhs.2024.308408.1235

Abstract

The study aimed to study and analyze the impact of using the integrated reporting approach in making the decision to invest in stocks. To achieve this goal، an applied study was conducted on a sample of non-financial joint stock companies listed on the Egyptian Stock Exchange and within the EGX100 index and stable within it from 2018 to 2022، The study sample consisted of 30 companies with a total number of views of 150 views (30*5) during the years of the study. The study concluded that integrated reports are a means of conveying financial and non-financial information in one integrated and coherent report to investors، and this enables them to evaluate the company’s ability to create and maintain value over time. Integrated reports reduce the cost of capital، reduce information asymmetry، enhance accountability and risk management، improve the company’s reputation، improve transparency، and reduce risks related to expectations، and this reflects positively on the company’s value and the quality of its profits، The integrated reports help investors reach recommendations related to the stock، whether these recommendations are to buy the stock، sell it، or keep it. These reports show information about the ability of the assets to make income expressed as a return ratio، and that ratio reveals the company’s profitability in all operational and non-operating operations. Or potential gains or losses on investment during a certain period of time. Integrated reports provide information on research and development expenditures and their impact on the future performance of the company، There is a strong and significant direct correlation between integrated reports and the decision to invest in stocks، as the more information companies disclose in their annual reports، the greater the investor’s ability to evaluate the company’s performance and create value for it in the market، which leads to making a proper investment decision.

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