Retail shareholder participation in the proxy process: Monitoring, engagement, and voting
| Autor: | Jonathon Zytnick, Matthew D. Cain, Alon Brav |
|---|---|
| Rok vydání: | 2022 |
| Předmět: |
Consumption (economics)
Economics and Econometrics Process (engineering) Strategy and Management media_common.quotation_subject ComputingMilieux_LEGALASPECTSOFCOMPUTING Turnout Sample (statistics) Outcome (game theory) Microeconomics Shareholder Accounting Voting Business Proxy (statistics) Finance media_common |
| Zdroj: | Journal of Financial Economics. 144:492-522 |
| ISSN: | 0304-405X |
| DOI: | 10.1016/j.jfineco.2021.07.013 |
| Popis: | We study retail shareholder voting using a nearly comprehensive sample of U.S. ownership and voting records. Analyzing turnout within a rational-choice framework, we find participation increases with ownership and expected benefits from winning and decreases with higher costs of participation. Even shareholders with a negligible likelihood of affecting the outcome have non zero turnout, consistent with consumption benefits from voting. Conditional on participation, retail shareholders punish the management of poorly performing firms. Overall, our evidence provides support for the idea that retail shareholders utilize their voting power to monitor firms and communicate with incumbent boards and management. |
| Databáze: | OpenAIRE |
| Externí odkaz: |
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