Unraveling the Dynamics: The Impact of Mandatory vs. Voluntary Financial Disclosure Practices on Investment Patterns

Abstract

Financial disclosure practices play a crucial role in shaping investment patterns and decisions. This research paper delves into the intricate dynamics between mandatory and voluntary financial disclosure practices and their impact on investment behavior. Through a comprehensive review of literature and empirical evidence, this paper examines how different disclosure regimes influence investor confidence, market efficiency, and capital allocation. Furthermore, it explores the implications for regulatory frameworks and provides insights for policymakers, investors, and corporate entities navigating the complexities of financial disclosure