The Relationship between Disclosure of Market Risk and Accounting Measures of Risk: Evidence from the Tehran Stock Exchange

The main objective of this study was to investigate the Relationship market risk (B) and accounting measures of risk of listed companies in Tehran Stock Exchange. In this study, the sample of 900 year-firm during the years 2001 to 2010 were used to test the research hypotheses. Accounting risk groups (1) financial risk, (2) the business risk and (3) systematic risk is divided. In this study, the variables of financial leverage, firm size and current ratio as a measure of financial risk and variable earning variability, earning growth and dividend per share as business risk and co-variability of earnings is used as a systematic risk assessment. The results indicated that the variables of financial leverage, firm size and co-variability earnings with disclosure of market risk, there is a significant positive relationship. However, the variables of current ratio, dividend per share and profit growth with disclosure of market risk, there is a significant negative relationship. But, the relationship between earnings variability the disclosure of market risk as not statistically significant.