Download or read book Literature Review and Research Opportunities on Risk Factor Disclosures written by Abiodun Isiaka and published by . This book was released on 2019 with total page 47 pages. Available in PDF, EPUB and Kindle. Book excerpt: The purpose of this paper is to synthesize the current literature on Risk Factor Disclosures (RFDs) and propose a framework for future research. Beginning in 2005, the US Securities and Exchange Commission (SEC) proposed changes to the disclosure of risk information in the annual 10-K reports. These changes mandated large firms in the US to disclose risk factors in a specific section of their 10-Ks, referred to as Item 1A. This paper identifies and suggests research questions in four areas to improve usefulness of RFD reporting: RFDs topics and content, RFDs usefulness to investors, RFDs usefulness in contractual settings, and market-wide usefulness of RFDs. This study will be of use to academic research on the usefulness of RFDs and will provide information to the SEC on ways to improved RFDs.