CLAWBACK PROVISIONS IN REAL ESTATE INVESTMENT TRUSTS

CROSS LISTING OF REAL ESTATE INVESTMENT TRUSTS (REITs)

Self-enforcing Clawback Provisions in Executive Compensation Self-enforcing Clawback Provisions in Executive Compensation *

A clawback provision is the right of a firm to recover from an executive’s compensation as the result of triggering events, such as a financial restatement. We argue that the adoption of clawback provisions may exacerbate a manager’s incentive to avoid financial restatements via earnings management. Only when the accounting verifiability is high, making earnings management very costly, can claw...

The Role of Corporate Governance in Initial Public Offerings: Evidence from Real Estate Investment Trusts

This study analyzes the impact of corporate governance structures at the initial public offering (IPO) date. We test hypotheses that firms with more shareholder-oriented governance structures receive higher valuations at the IPO stage and have better long-term performance. Our sample is a set of 107 IPOs of real estate investment trusts (REITs) between 1991 and 1998. Using a single industry and...

Self-Enforcing Clawback Provisions in Executive Compensation

There has been widespread public debate over the effectiveness of corporate governance practices in firms. One of the main concerns is that CEOs take advantage of accounting discretion to misreport financial information and to extract excess compensation (rents) from shareholders. Thus, the connection between CEO compensation and financial misstatements has received considerable attention. Due ...

Comments Welcome Insider Ownership and Corporate Value: Evidences from Real Estate Investment Trusts

Real estate investment trusts (REITs) provides us a unique laboratory to study the relation between insider ownership and ̄rm value, since REITs have to satisfy special regulations which render alternative mechanisms to control agency problems ine®ective. After controlling for unobserved ̄rm heterogeneity, we still ̄nd a signi ̄cant nonlinear relation between REIT insider ownership and Tobin's Q...