경영진단의견서(MD&A) 모범사례 스타일 참조와 정보비대칭 및 가독성

This study analyzes the disclosure practices of Management Discussion and Analysis (MD&A) reports based on a compilation of best practices published by the Financial Supervisory Service (FSS) to establish the revised disclosure formats since the enactment of the Capital Market Act. This study aims to confirm the necessity and importance of MD&A disclosure and to examine the utilization of the best practice guideline provided by the FSS for the usefulness of MD&A disclosure. This study measures how much management refers to the style of the FSS’s MD&A best practice example to analyze management choice of disclosure forms and examines the relevance between disclosure text selection and information asymmetry and MD&A readability. The analysis showed a negative correlation between the degree of reference to best practices and information asymmetry and a positive correlation with MD&A readability. This paper reaffirms the importance of MD&A disclosures by empirically verifying its core goals of reducing information asymmetry and improving readability. This study contributes to the literature by empirically analyzing the effectiveness of MD&A disclosures in reducing information asymmetry and improving readability and by supplementing the measurement of disclosure quality. These results can help investors, regulators, and information users to use MD&A disclosures more effectively, provide directions for improving the MD&A disclosure system, and contribute to strengthening regulatory policies. However, this study suggests that the understanding and utilization of the MD&A disclosure system by market participants in Korea is still insufficient and that further research is needed to improve this.