Institutional investor horizon and bank risk-taking

We test the effect of short-term versus long-term institutional shareholding –so-called investor horizon– on bank risk-taking. We find that in contrast to banks dominated by short-term shareholders, banks with greater long-term shareholding are associated with lower risk, better stock performance, a...

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Main Authors: Pathan, Md Shams Tabrize, Haq, Mamiza, Faff, R., Seymour, T.
Format: Journal Article
Published: 2021
Online Access:http://purl.org/au-research/grants/arc/DE140100253
http://hdl.handle.net/20.500.11937/85365
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author Pathan, Md Shams Tabrize
Haq, Mamiza
Faff, R.
Seymour, T.
author_facet Pathan, Md Shams Tabrize
Haq, Mamiza
Faff, R.
Seymour, T.
author_sort Pathan, Md Shams Tabrize
building Curtin Institutional Repository
collection Online Access
description We test the effect of short-term versus long-term institutional shareholding –so-called investor horizon– on bank risk-taking. We find that in contrast to banks dominated by short-term shareholders, banks with greater long-term shareholding are associated with lower risk, better stock performance, and conservative business and compensation policies. Our results imply that bank regulators should be more vigilant over the actions of banks that heavily rely on short-term shareholding.
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institution Curtin University Malaysia
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spelling curtin-20.500.11937-853652022-12-16T00:52:13Z Institutional investor horizon and bank risk-taking Pathan, Md Shams Tabrize Haq, Mamiza Faff, R. Seymour, T. We test the effect of short-term versus long-term institutional shareholding –so-called investor horizon– on bank risk-taking. We find that in contrast to banks dominated by short-term shareholders, banks with greater long-term shareholding are associated with lower risk, better stock performance, and conservative business and compensation policies. Our results imply that bank regulators should be more vigilant over the actions of banks that heavily rely on short-term shareholding. 2021 Journal Article http://hdl.handle.net/20.500.11937/85365 10.1016/j.jcorpfin.2020.101794 http://purl.org/au-research/grants/arc/DE140100253 http://creativecommons.org/licenses/by-nc-nd/4.0/ fulltext
spellingShingle Pathan, Md Shams Tabrize
Haq, Mamiza
Faff, R.
Seymour, T.
Institutional investor horizon and bank risk-taking
title Institutional investor horizon and bank risk-taking
title_full Institutional investor horizon and bank risk-taking
title_fullStr Institutional investor horizon and bank risk-taking
title_full_unstemmed Institutional investor horizon and bank risk-taking
title_short Institutional investor horizon and bank risk-taking
title_sort institutional investor horizon and bank risk-taking
url http://purl.org/au-research/grants/arc/DE140100253
http://hdl.handle.net/20.500.11937/85365