The impact of capital ownership structure on accounting conservatism: empirical evidence from Vietnam's listed banks

Abstract

This study aims to analyze the impact of capital ownership structure on accounting conservatism in Vietnam's listed commercial banks. Using the model proposed by Feltham (1995) to measure accounting conservatism, the study analyzes financial statements and annual reports from 26 joint-stock commercial banks listed on Vietnam's three stock exchanges—Ho Chi Minh City Stock Exchange (HOSE), Hanoi Stock Exchange (HNX), and UPCOM—during the period from 2021 to 2023, resulting in observations. Employing panel data with Pooled OLS, FEM, and REM regression models, the findings reveal that institutional ownership and state ownership positively influence accounting conservatism, whereas large shareholders’ ownership has a negative effect. These insights are valuable for commercial banks and other stakeholders, including investors and policymakers.