Ownership and Governance Style: New Evidence from Nonfinancial Blockholders

摘要: Different types of blockholders govern differently. Committed (non-financial) are 6 times more likely to self-identify as active, and the language their filings reflects governance through voice rather than exit. These differences in persist over a firm’s life cycle. We also find that by committed blocks may contaminate previous studies’ economic interpretation about passive investors around index thresholds. Finally, performance firms with block is similar financial block, consistent dynamic equilibrium models optimal ownership. Firms appear have lower agency costs.