We document a significant decrease in the ownership structure of a large number of companies in the UK over the last decade. We find that the increase in firm's size and risk and the decrease in performance explain a large proportion of this change. We also find that the dilution of ownership through new issues rather than sales of stakes to be the main reason for the decrease in management own...

The bulk of corporate governance theory examines the agency problems that arise from two extreme ownership structures: 100 percent small shareholders or one large, controlling owner combined with small shareholders. In this paper, we question the empirical validity of this dichotomy. In fact, one-third of publicly listed firms in Europe have multiple large owners, and the market value of firms ...

This paper surveys the issues and devises an analytical framework for policy makers and policy advisors concerned with corporate governance. The framework takes a functional approach, identifying six functions provided by a governance system. The paper highlights the possibilities and limits to governance reform through the adoption of legal protections and the use of ownership structure. I cau...

Since the early work of Jensen and Meckling, agency con ̄icts and their effects on the ®rm have been widely researched in ®nance. The present literature has examined the relationship between corporate governance and ®nancial performance for both existing stock companies and the plethora of recent IPO ®rms. In Corporate Governance and Financial Performance: A Study of German and UK Initial Public...

This paper investigates the association between a range of corporate governance mechanisms and forward-looking disclosure (FLD) in a low information environment: the Chinese stock markets. It finds that the implementation of certain monitoring and control mechanisms, such as financial expertise on audit committees and independent directors on the board of directors, can improve the extent of FL...

The aim of the current study is to investigate the effectiveness of the Turkish corporate governance system. To reach this aim, the paper first discusses the corporate governance system of Turkey briefly. The measures of effectiveness of a corporate governance system are formulated and CEO turnover is used as a measure. The effectiveness of the Turkish corporate governance system is analyzed by...

In recent years, the Kenyan Government has initiated reforms at the Nairobi Stock Exchange aimed at transforming the exchange into a vehicle for mobilising domestic savings and attracting foreign capital investments. Consequently, the corporate financial reporting, and in particular, the level of voluntary disclosure is a vital part of the process for building investor confidence (local and for...

Title of dissertation: INTERNATIONAL CORPORATE GOVERNANCE: A STUDY OF COMPLEMENTARITIES AND CONVERGENCE Meghana Ayyagari, Doctor of Philosophy, 2004 Dissertation directed by: Professor Vojislav Maksimovic Department of Finance This thesis contributes to contemporary research in international corporate governance by investigating two related questions: (1) Is there a convergence in corporate gov...

Business groups organized by pyramids enable the ultimate shareholders to control a portfolio of firms with less cash requirement. Further, corporate pyramid induces an internal capital market and makes capital transfer more convenient within the pyramid. In China, the state and business groups control a large number of listed firms through pyramidal ownership structure. What role does the corp...

Abstract: We investigate the degree to which corporate governance and ownership affect the innovation performance of firms in China with a particular focus on privately owned small and medium enterprises (SMEs). Using the appropriate theoretical frameworks, we derive hypotheses regarding the impact of ownership concentration, board size and composition, and the background of the CEO on innovati...