Corporate Governance Indices and Construct Validity
We conduct an exploratory analysis of how researchers can address the issue of ?construct validity?, which poses a major challenge to all studies of the...
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Cheap-Stock Tunneling Around Preemptive Rights
Preemptive rights are thought to protect minority shareholders from cheap-stock tunneling by a controlling shareholder. We show that preemptive...
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The Voting Premium
This paper develops a unified theory of blockholder governance and the voting premium. It explains how and why a voting premium emerges in the absence of...
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Did Corporate Governance 'Fail' During the 2008 Stock Market Meltdown? The Case of the S&P 500
In 2008, share prices on U.S. stock markets fell further than they had during any one year since the 1930s. Does this mean corporate governance...
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Trading and Shareholder Democracy
We study shareholder voting in a model in which trading affects the composition of the shareholder base. Trading and voting are complementary, which...
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Standing Voting Instructions: Empowering the Excluded Retail Investor
Despite the increasing importance of shareholder voting, regulators have paid little attention to the rights of retail investors who own...
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Implementation of the SRD II Provisions on Related Party Transactions
In 2017 the European Union adopted amendments to the Shareholder Rights Directive enacted a decade earlier. Among the changes was a new Article 9c...
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Index Funds and Corporate Governance: Let Shareholders be Shareholders
Index funds and indexed ETFs managed by the “Big Three” – BlackRock, Vanguard and State Street – have grown to be the largest investors in the...
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Empowering the Audit Committee and the Auditor in Related Party Transactions
Currently, the European approach addressing related party transactions is exclusively relying on the disclosure and partial control of the...
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