Heterogeneity and peer effects in mutual fund proxy voting

@article{Matvos2010HeterogeneityAP,
  title={Heterogeneity and peer effects in mutual fund proxy voting},
  author={Gregor Matvos and M. Ostrovsky},
  journal={Journal of Financial Economics},
  year={2010},
  volume={98},
  pages={90-112}
}
  • Gregor Matvos, M. Ostrovsky
  • Published 2010
  • Economics
  • Journal of Financial Economics
  • This paper studies voting in corporate director elections. We construct a comprehensive data set of 2,058,788 mutual fund votes over a two-year period. We find systematic heterogeneity in voting: some funds are consistently more management-friendly than others. We also establish the presence of peer effects: a fund is more likely to oppose management when other funds are more likely to oppose it, all else being equal. We estimate a voting model whose supermodular structure allows us to compute… CONTINUE READING
    110 Citations

    Tables from this paper.

    Are Mutual Funds Active Voters
    • 3
    Mutual fund board connections and proxy voting
    • 5
    • Highly Influenced
    Are Mutual Funds Active Voters?
    • 134
    • PDF
    The Role of Proxy Advisory Firms: Evidence from a Regression-Discontinuity Design
    • 96
    • PDF
    Conflict of Interest and Proxy Voting by Institutional Investors
    • 1
    Institutional investor cliques and governance
    • 15
    • PDF
    Institutional Investor Cliques and Governance
    • 1

    References

    SHOWING 1-10 OF 38 REFERENCES
    Business ties and proxy voting by mutual funds
    • 365
    • Highly Influential
    • PDF
    Electing Directors
    • 179
    • Highly Influential
    Cross-Ownership, Returns and Voting in Mergers
    • 64
    Voting Behavior and Information Aggregation in Elections with Private Information
    • 628
    • PDF
    Corporate Governance and Equity Prices
    • 3,303
    • PDF
    Mutual Fund Styles
    • 439
    • PDF
    Desegregation and the Achievement Gap: Do Diverse Peers Help?
    • 119
    • PDF