Working Paper

Do U.S. Firms Have the Best Corporate Governance?A Cross-Country Examination of the Relation between Corporate Governance and Shareholder Wealth

We compare the governance of foreign firms to the governance of similar U.S. firms. Using an index of firm governance attributes, we find that, on average, foreign firms have worse governance than matching U.S. firms. Roughly 8% of foreign firms...Read more

Reena Aggarwal
René Stulz
01 January 2007

Hedge Fund Activism, Corporate Governance, and Firm Performance


Using a large hand-collected dataset from 2001 to 2006, we find that activist hedge funds in the U.S. propose strategic, operational, and financial remedies and attain success or partial success in two thirds of the cases. Hedge funds...Read more

Alon Brav
Wei Jiang
Frank Partnoy
Randall Thomas
01 September 2006

The Rise of Independent Directors in the United States, 1950-2005: of ShareholderValue and Stock Market Prices

Between 1950 and 2005, the composition of large public company boards dramatically shifted towards independent directors, from approximately 20% independents to 75% independents. The standards for independence also became increasingly rigorous...Read more

Jeffrey Gordon
01 August 2006