We examine the association between corporate governance and the quality of information
available to financial analysts. Our results indicate that the quality of financial
analysts’ information about upcoming earnings increases with the quality of corporate
governance. Recent research indicates that the quality of firm-provided mandatory and
voluntary disclosures increases in the quality of specific corporate governance mechanisms.
Our results add to this stream of research by showing that better quality corporate
governance is associated with a key benefit to the end users of firm-provided
financial disclosures: an increase in the overall quality of information possessed by
financial analysts, one of the key users of firm-provided financial disclosures.