Institutional Investors, Political Connections and Analyst Following in Malaysia

We examine the association between institutional ownership, political connections, and analyst following in Malaysia from 1999 to 2009. Based on 940 firm-year observations, we document a positive relation between institutional ownership, particularly by Employees Provident Fund (EPF), and analyst fo...

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Main Authors: How, J., Verhoeven, P., Abdul Wahab, Effiezal Aswadi
Format: Journal Article
Published: Elsevier BV * North-Holland 2014
Online Access:http://hdl.handle.net/20.500.11937/49618
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author How, J.
Verhoeven, P.
Abdul Wahab, Effiezal Aswadi
author_facet How, J.
Verhoeven, P.
Abdul Wahab, Effiezal Aswadi
author_sort How, J.
building Curtin Institutional Repository
collection Online Access
description We examine the association between institutional ownership, political connections, and analyst following in Malaysia from 1999 to 2009. Based on 940 firm-year observations, we document a positive relation between institutional ownership, particularly by Employees Provident Fund (EPF), and analyst following, thus supporting the governance role that institutional investors play in promoting corporate transparency. However, there is no evidence that political connections matter to analyst following. The monitoring role of institutional investors, including EPF, does not appear to be any different between politically connected and non-connected firms.
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format Journal Article
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institution Curtin University Malaysia
institution_category Local University
last_indexed 2025-11-14T09:41:27Z
publishDate 2014
publisher Elsevier BV * North-Holland
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spelling curtin-20.500.11937-496182017-12-13T01:35:52Z Institutional Investors, Political Connections and Analyst Following in Malaysia How, J. Verhoeven, P. Abdul Wahab, Effiezal Aswadi We examine the association between institutional ownership, political connections, and analyst following in Malaysia from 1999 to 2009. Based on 940 firm-year observations, we document a positive relation between institutional ownership, particularly by Employees Provident Fund (EPF), and analyst following, thus supporting the governance role that institutional investors play in promoting corporate transparency. However, there is no evidence that political connections matter to analyst following. The monitoring role of institutional investors, including EPF, does not appear to be any different between politically connected and non-connected firms. 2014 Journal Article http://hdl.handle.net/20.500.11937/49618 10.1016/j.econmod.2014.07.043 Elsevier BV * North-Holland fulltext
spellingShingle How, J.
Verhoeven, P.
Abdul Wahab, Effiezal Aswadi
Institutional Investors, Political Connections and Analyst Following in Malaysia
title Institutional Investors, Political Connections and Analyst Following in Malaysia
title_full Institutional Investors, Political Connections and Analyst Following in Malaysia
title_fullStr Institutional Investors, Political Connections and Analyst Following in Malaysia
title_full_unstemmed Institutional Investors, Political Connections and Analyst Following in Malaysia
title_short Institutional Investors, Political Connections and Analyst Following in Malaysia
title_sort institutional investors, political connections and analyst following in malaysia
url http://hdl.handle.net/20.500.11937/49618