Information Asymmetry in Data Intensive Finance and Its Impact on Competitive Financial Performance

Abstract

The rapid expansion of data-intensive financial systems has transformed how firms manage risk, pricing, and strategic decision-making. This study examines the role of information asymmetry in data-driven finance and its impact on competitive financial performance. By analyzing cross-sectional and longitudinal data from financial institutions, the research highlights how disparities in access to high-quality financial information influence market positioning, investment efficiency, and profitability. The findings indicate that organizations with superior information integration achieve measurable competitive advantages, while higher asymmetry exacerbates risk and limits performance. The study contributes to the literature on financial innovation and strategic management by linking data governance to performance outcomes.