This article examines equity market perceptions of fair value reporting for tangible assets. We identify six events—four designated as increasing, two as decreasing—affecting the likelihood of U.S. adoption of fair value reporting for investment property (i.e., real estate) assets, one of the largest asset classes in the world. Fair value adoption in the United States would facilitate convergence of one of the widest remaining disparities between U.S. reporting and International Financial Reporting Standards (IFRS): accounting for tangible investment property assets, where the United States (IFRS) requires depreciated historical cost (recognized or disclosed fair values). Using a sample of U.S. investment property firms, we document an average positive market reaction for movement toward fair value reporting. We further find predictable cross-sectional variation, with the market reaction increasing for firms with greater commitment to high-quality reporting, greater investor demand for fair values, higher financial risk, and staler asset values. Overall, the results are consistent with U.S. equity markets perceiving net benefits to movement toward a fair value reporting approach for this asset class.

本文研究了股票市场对有形资产公允价值报告的看法。我们确定了六个事件——四个指定为增加，两个指定为减少——影响美国对投资性房地产（即房地产）资产（世界上最大的资产类别之一）采用公允价值报告的可能性。在美国采用公允价值将促进美国报告与国际财务报告准则 (IFRS) 之间最广泛的剩余差异之一的趋同：有形投资房地产资产的会计处理，美国 (IFRS) 要求折旧历史成本（已确认或披露的公允价值）。使用美国投资房地产公司的样本，我们记录了市场对公允价值报告趋势的平均积极反应。我们进一步发现了可预测的横截面变化，随着对高质量报告的更大承诺、投资者对公允价值的更大需求、更高的财务风险和更陈旧的资产价值的公司的市场反应增加。总体而言，结果与美国股市一致认为该资产类别采用公允价值报告方法带来的净收益。