Based on the data of China's A-share listed companies from 2007 to 2020, this paper studies impact common institutional ownership corporate cash holdings. The results show that can significantly reduce level Further analysis shows internal governance mechanism will regulate relationship between and In enterprises without executive equity incentive, have a stronger inhibitory effect

We reexamine the widely accepted phenomenon that U.S. corporations are holding increasing amount of cash in last few decades. document increase holdings (scaled by market value assets) is a smaller and narrower phenomenon. find average went up from 9.6% during period 1980-84 to 11.1% 2010-14. also most can be attributed firms only two sectors, namely, healthcare, hi?tech sectors. Finally, we th...

Business strategy's impact on firm cash holdings and dividend payouts has largely remained unexplored. We identify a fundamental direct link between firm's business strategy its payouts. Analysing two large samples of data US firms over the period 1992–2017, we find strong evidence that prospectors (defenders) are likely to hold more (less) pay less (more) dividends than other firms. Further an...

We examine the relation between employee protection legislation and corporate cash holdings. Our rationale rests on notion that higher labor adjustment costs increase a firm's operating leverage making firms to adjust their liquidity management by increasing precautionary savings. Consistent with this, we show staggered passage of legal exceptions “at-will” employment doctrine in various U.S. s...

As the decision-makers and implementers of a firm’s financial strategy, executives play critical role in cash holding activities, their psychological characteristics have major impact on holdings. This paper investigates association between CEO organizational identification firm The empirical results show that is negatively associated with holdings, negative more pronounced when level developme...

Cette étude examine la relation entre diversité de genre dans les conseils d’administration et trésorerie (c’est-à-dire le risque liquidité) excédentaire des entreprises d’agence). En utilisant un échantillon sociétés françaises cotées à l’indice SBF 120 sur période 1998-2015, nous constatons une positive significative au sein surveillance pour deux mesures ratio ajusté par secteur) négative av...

This paper examines how firms adjust cash holdings following horizontal mergers in the industry. Using a sample of 16,597 between US from 1984 to 2016, we find that three-year period mergers, marginal value decreases for rivals with lower investment opportunities. Rivals low Tobin's Q reduce while high hold more cash. These results suggest rival pattern is consistent their We also examine possi...