-
Journal menu
- General information
- Editorial Board and External Reviewers
- Journal Policies
- Publication Ethics and Malpractice Statement
- Instructions for authors
- Paper reviewing
- Article processing charge
- Feedback from stakeholders
- Journal’s Open Access statement
- Order hard copies of the journal
- 50 most cited papers in the journal
Risk relevance and volatility of other comprehensive income in the banking sector: Evidence from European countries
Download This Article
This work is licensed under a Creative Commons Attribution 4.0 International License.
Abstract
The aim of this study is to examine the relationship between the risk measures and the volatility of total comprehensive income (TCI), other comprehensive income (OCI), and single OCI components in the European context. Previous studies only cover reporting jurisdictions such as the United States and Canada but never the EU. Based on these premises, this research uses a sample of 166 listed banks, selected from 15 European countries. The results show that there is a significant positive association between the stock return volatility and the volatility of TCI, of OCI, and some of the single OCI components. This study contributes to the international debate on the risk relevance of TCI and its components, observing, in addition to previous research, the association not only between the risk measures and the volatility of TCI and OCI but also between the risk measures and the volatility of single OCI components.
Keywords: Total Comprehensive Income, Financial Reporting, Risk Relevance, Volatility, Banks
Authors’ individual contribution: Conceptualization – M.L., F.D.C., and A.I.; Methodology – M.L. and F.D.C.; Formal Analysis – M.L.; Investigation – F.D.C.; Writing – Original Draft – M.L. and F.D.C.; Writing – Review and Editing – M.L., F.D.C., and A.I.; Supervision – A.I.
Declaration of conflicting interests: The Authors declare that there is no conflict of interest.
JEL Classification: M41
Received: 02.02.2020
Accepted: 27.04.2020
Published online: 29.04.2020
How to cite this paper: Lucchese, M., Di Carlo, F., & Incollingo, A. (2020). Risk relevance and volatility of other comprehensive income in the banking sector: Evidence from European countries. Corporate Ownership & Control, 17(3), 187-197. https://doi.org/10.22495/cocv17i3art15