Accounting Ratios
GMT Research is an accounting research firm which develops proprietary methodologies to detect financial anomalies, or traits similar to past accounting shenanigans, at publicly listed companies. It is based in Hong Kong, focused on Asia and regulated by Hong Kong’s Securities and Futures Commission. The firm advises investment institutions around the world. For more information please visit our Terms of Use or About Us pages.
Related Party Balances/Equity (%)
We penalise any company with related party balances. Related party transactions have historically been a way to either artificially inflate a listed company’s profit or to illegally siphon money out of a company for the personal benefit of related parties. Bloomberg does not collect data on related party transactions (which are notoriously difficult to collate) and so we have relied on related party balances. However, related party balances are not necessarily indicative of the size of related party transactions. As such, investors should investigate further by checking the financial statements for connected and related party transactions. For more information on related party transactions and balances, please read out report RELATED PARTY TRANSACTIONS: Family Games in HK and SG (23 Feb 2016).