Impact of Corporate Governance Disclosure Policy on Firm Performance on Sensex Listed 30 Companies

“Corporate governance (CG) is a key element for improving economic efficiency and growth as well as enhancing investors’ confidence. Effective corporate governance system, within an individual company and across an economy as a whole, helps to provide a degree of confidence that is necessary for proper functioning of a market economy” (Naidu, 2018).

This study examines the relationship between different indices of CG mechanism of SENSEX listed 30 companies over the period of seven years starting from Financial Year (FY) 2011-12 to FY 2017-18 and impact of disclosure policies on firm performance. This study is a conclusive research initiated on two dimensions: (i) Exploratory research, (ii) Causal effect. The result showed that Only the Disclosure policy and no other index of CG has significant impact on ROE and RoCE. Whereas it does not have any significant impact on Price to Book value of the selected firms. This study supply useful information for companies about improving the corporate governance policies in the future by understanding what amount of information to make available to shareholders about policies and practices of the company.