A Complete Disclosure of Financial Derivatives as One of Investments Means and Its Effect on the Confidence of Transactions between Companies

	A Complete Disclosure of Financial Derivatives as One of Investments Means and Its Effect on the Confidence of Transactions between Companies
Tikrit Journal For Administration & Economics Sciences
Article 1, Volume 8, Issue 24, 2012, Pages 267-288
Abstract
It is observed in the stock market that the main factor of accounting information and its quality in terms of appropriate and reliability of this information and the degree of disclosure. Thus, the full disclosure of financial derivatives may decrease the confidence factor in dealing with that market, leading to an increased investments and their movements the sale and purchase, in the extent to which market ability to absorb the negative effects of the global financial crisis. Due to derivatives are savings out of the budget, their disclosure are not mentioned in these lists, but in separate reports. But the companies usually avoid this. The regulatory authorities and government agencies have taken a new approaches to oblige companies to disclose the derivatives and related activities because of their importance and seriousness on the future of the enterprise and its significance for owners, investors and the public. This research deals with this topic in terms of the nature and importance of the disclosure, its forms and its information. Then, it deals with the financial derivatives, types and nature. It displays one way of how to disclose them like the case in the United States. The research is concluded with some conclusions and recommendations.

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