Corporate Governance and Equity Prices

  title={Corporate Governance and Equity Prices},
  author={Paul A. Gompers and Joy L. Ishii and Andrew Metrick},
  journal={Corporate Finance: Governance},
  • Paul A. Gompers, Joy L. Ishii, Andrew Metrick
  • Published 2001
  • Corporate Finance: Governance
  • Corporate-governance provisions related to takeover defenses and shareholder rights vary substantially across firms. In this paper, we use the incidence of 24 different provisions to build a 'Governance Index' for about 1,500 firms per year, and then we study the relationship between this index and several forward-looking performance measures during the 1990s. We find a striking relationship between corporate governance and stock returns. An investment strategy that bought the firms in the… CONTINUE READING
    3,429 Citations
    Empirical evidence on corporate governance in Europe: The effect on stock returns, firm value and performance
    • 451
    • Highly Influenced
    • PDF
    Corporate Governance and Firm Liquidity: Evidence from the Chinese Stock Market
    • 32
    • PDF
    Corporate Governance and Value in Brazil (and in Chile)
    • 167
    • PDF
    Three essays on corporate finance: Evidence from Brazil
    • 1
    • Highly Influenced
    • PDF
    Corporate Governance and the Cost of Equity Capital
    • 211
    • PDF


    A Survey of Corporate Governance
    • 13,271
    • PDF
    Corporate governance, chief executive officer compensation, and firm performance 1 The financial sup
    • 3,585
    • PDF