Corporate Control Activism

Capital Markets and Corporate Control: Empirical Evidence from Hedge Fund Activism in Germany

Since the beginning of this century the German financial system has changed from an extreme universal banking system to a more financial market oriented system in various aspects. Most importantly and most visibly, the corporate governance and corporate control structure underwent substantial changes. In fact, hedge funds and other activist investors are increasingly taking advantage of a contr...

Corporate Social Performance and Internal Control

This study examines the relationship between corporate social performance and the Company's internal control. For the study, the definition of corporate social performance is used Wood (Wood, 1991) and social performance into the process (internal processes, management) and outcome (social impact) is divided. To assess the social performance of corporate social performance version of the questi...

Corporate Finance, Incomplete Contracts, and Corporate Control∗

This essay in celebration of Grossman and Hart (1986) (GH) discusses how the introduction of incomplete contracts has fundamentally changed economists’perspectives on corporate finance and control. Before GH, the dominant theory in corporate finance was the tradeoff theory pitting the tax advantages of debt (relative to equity) against bankruptcy costs. After GH, this theory has been enriched b...

Large Shareholder Activism in Corporate Governance in Developing Countries: Evidence from India

Most of the existing evidence on the effectiveness of large shareholders in corporate governance has been restricted to a handful of developed countries, notably the UK, US, Germany and Japan. This paper provides evidence on the role of large shareholders in monitoring company value from a developing and emerging economy, India, whose corporate governance system is a hybrid of the outsider-domi...

“Say on Pay” Shareholder Advisory Votes on Executive Compensation: The New Frontier of Corporate Governance Activism