INVESTORS' PERCEPTIONS OF THE VALUE RELEVANCE OF ACCOUNTING INFORMATION IN BANGLADESH

Abstract

This paper aims to explore how both institutional and individual investors perceive the importance of various financial statement items in the valuation of equities. Employing a descriptive survey design, the study targeted all investors involved in the DSE. A total of 400 respondents were sampled from this population. Data were gathered via structured questionnaires and subsequently analyzed using descriptive statistics alongside independent sample t-tests. The results suggest an overall agreement among respondents regarding the usefulness of accounting information in decision-making processes. However, notable differences emerged between institutional and individual investors regarding the significance of accounting information for valuation purposes.