Recommendations of the basel accord and level of transparency of banking institutions: a study of adherence

Abstract

The purpose of this study is to verify the level of transparency of  Banking Institutions with shares traded on the Securities, Commodities and Futures Exchange - BM&FBOVESPA, in relation to the recommendations of Basel II. The research was developed by deductive reasoning, through a descriptive, documental, and quantitative research. The study population was constituted of financial institutions (FIs) in Brazil. The sample is defined by IF with shares traded on the BM&FBOVESPA, classified in the sector of banks activity and results from the confrontation of this listing on the BM&FBOVESPA with the report of the 50 largest banks in the consolidated Financial System. The sample consisted of 15 banking institutions. Data collection was effected from the electronic portal of the companies, the link of investors, corporate governance. The informations suffered content analysis, and after collecting, the data passed by the principal component analysis, and finally, was elaborate the ranking of banks in the sample of this study, in accord with the level of disclosure. Regarding the level of transparency of the Brazilian Banking Institutions surveyed, the level of adherence to the recommendations of the Basel II was 53.12%, ie, fell short of the recommended disclosure document. With respect to the principal component analysis, showed that three components explain 78.44% of inertia (variance) of the data. Has produced a ranking of the recommendations of the document evidencing studied.