Please use this identifier to cite or link to this item:
|Title:||Corporate Governance and Firm-specific Stock Price Crashes||Authors:||Andreou, Panayiotis
Horton, Joanne G.
|Keywords:||Agency risk;Corporate governance;Crash risk;Information environment||Category:||Economics and Business||Field:||Social Sciences||Issue Date:||1-Nov-2016||Publisher:||Blackwell Publishing Ltd||Source:||European Financial Management, 2016, vol. 22, no. 5, pp. 916-956||DOI:||10.1111/eufm.12084||Journal:||European Financial Management||Abstract:||We investigate whether ownership structure, accounting opacity, board structure & processes and managerial incentives attributes relate to future stock price crash risk. Principal component analysis on the 21 attributes that comprise these four corporate governance dimensions reveals that they can explain between 13.1% and 23.0% of a one standard deviation in crash risk. Transient institutional ownership, CEO stock option incentives and the proportion of directors that hold equity increase crash risk, whilst insiders' ownership, accounting conservatism, board size and the presence of a corporate governance policy mitigate crash risk. Overall these relationships are more pronounced in environments that accentuate agency risk.||ISSN:||1354-7798||DOI:||10.1111/eufm.12084||Collaboration :||Cyprus University of Technology
Durham University Business School
University of Exeter
|Appears in Collections:||Άρθρα/Articles|
Items in DSpace are protected by copyright, with all rights reserved, unless otherwise indicated.