Open Access Research Article

From Intelligent Reporting to Investor Trust: The Mediating Power of Information Transparency

Authors

Araz Shahbazpour Shahbazi * Department of Accounting, Tabriz Branch, Islamic Azad University, Tabriz, Iran.

https://doi.org/10.22105/aaa.v3i4.116

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Abstract

The aim of this study is to examine the impact of intelligent financial reporting on investors’ trust with the mediating role of information transparency. In terms of purpose, this research is applied, and in terms of nature and method, it is descriptive–survey and correlational, and it is considered a field study. The statistical population includes financial managers, senior accountants, internal auditors, and financial analysts of listed companies on the stock exchange, and sampling was conducted using a purposive method. The sample size was determined based on Partial Least Squares Structural Equation Modeling (PLS-SEM) criteria. The data collection instrument was a researcher-made standardized questionnaire based on a five-point Likert scale, measuring three main variables: intelligent financial reporting, information transparency, and investors’ trust. The validity of the instrument was confirmed through content validity and Confirmatory Factor Analysis (CFA), while its reliability was assessed using Cronbach’s alpha and Composite Reliability (CR). Data analysis was performed using PLS-SEM approach and SmartPLS software. The findings indicated that intelligent financial reporting has a positive and significant effect on investors’ trust (β = 0.42, t = 5.87). The results also showed that information transparency plays a significant mediating role in this relationship, and the indirect effect of intelligent reporting on investors’ trust was confirmed (β = 0.31, t = 4.92). Model fit indices also indicated an acceptable structural model and adequate explanatory power of the dependent variables (R² = 0.56). Overall, the results suggest that intelligent financial reporting can enhance investors’ trust through improving information transparency. Therefore, modern reporting technologies are most effective when accompanied by transparency mechanisms that help reduce information asymmetry in capital markets.

Keywords

Intelligent financial reporting Investors’ trust Information transparency Financial information Capital market

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Published 2026-12-16
Issue Vol. 3 No. 4 (2026): Accounting and Auditing with Applications (AAA)
Section Articles
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Shahbazpour Shahbazi, A. . (2026). From Intelligent Reporting to Investor Trust: The Mediating Power of Information Transparency. Accounting and Auditing With Applications , 3(4), 309-322. https://doi.org/10.22105/aaa.v3i4.116

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