Aligning ownership and control
(2021) FEKH89 20202Department of Business Administration
- Abstract
- Abstract
Title Aligning ownership and control
Seminar date 15 January 2021
Course Bachelor's Thesis in Corporate Finance (FEKH89)
Authors Alexander Bjarte, Jakob Gerby, Melker Melin
Thesis Advisor Anamaria Cociorva
Key words Insider Ownership, Financial Performance, ROA, Tobin’s Q,
Asset Allocation, Decision Making
Purpose The aim of this study is to investigate whether equity
ownership amongst the decision making management of a firm
is positive for financial performance.
Methodology In order to achieve the purpose of the study, a quantitative
method with a deductive approach was used.
Theoretical perspective The study relies on previous research on the relationship
... (More) - Abstract
Title Aligning ownership and control
Seminar date 15 January 2021
Course Bachelor's Thesis in Corporate Finance (FEKH89)
Authors Alexander Bjarte, Jakob Gerby, Melker Melin
Thesis Advisor Anamaria Cociorva
Key words Insider Ownership, Financial Performance, ROA, Tobin’s Q,
Asset Allocation, Decision Making
Purpose The aim of this study is to investigate whether equity
ownership amongst the decision making management of a firm
is positive for financial performance.
Methodology In order to achieve the purpose of the study, a quantitative
method with a deductive approach was used.
Theoretical perspective The study relies on previous research on the relationship
between ownership and financial performance. The
Agent-principal relationship lays the foundation for the study.
Agency conflicts and information asymmetry
explaining how this relationship becomes problematic when
ownership and control is divided. Signaling and managerial
incentives explains how principal-agency
conflicts could be mitigated through insider ownership.
Empirical foundation The data consist of ownership -and accounting data for 325
firms listed on Stockholm Stock Exchange, small, -mid -and
Large Cap. Data is collected from the Holdings database
and Bloomberg.
Results The results show a positive coefficient for insider ownership
with statistical significance to financial performance measured
as ROA. For Tobin's Q as dependent variable a positive
coefficient for insider ownership is found but is not statistically
significant. (Less) - Popular Abstract (Swedish)
- Abstrakt
Titel Aligning ownership and control
Datum för seminarium 15 Januari 2021
Kurs Kandidatuppsats i Finansiering (FEKH89)
Författare Alexander Bjarte, Jakob Gerby, Melker Melin
Handledare Anamaria Cociorva
Nyckelord Insiderägande, Finansiell prestation, ROA, Tobin’s Q,
Tillgångsallokering, Besultsfattande
Syfte Studien ämnar att undersöka om det finns ett samband mellan
aktieägarskap inom personer med beslutsfattande ställning i företag är positivt för finansiell prestation.
Metod För att uppnå studiens syfte har en kvantitativ metod med
deduktiv ansats använts.
Teoretiska perspektiv Studien grundar sig i tidigare forskning som undersöker
relationen mellan... (More) - Abstrakt
Titel Aligning ownership and control
Datum för seminarium 15 Januari 2021
Kurs Kandidatuppsats i Finansiering (FEKH89)
Författare Alexander Bjarte, Jakob Gerby, Melker Melin
Handledare Anamaria Cociorva
Nyckelord Insiderägande, Finansiell prestation, ROA, Tobin’s Q,
Tillgångsallokering, Besultsfattande
Syfte Studien ämnar att undersöka om det finns ett samband mellan
aktieägarskap inom personer med beslutsfattande ställning i företag är positivt för finansiell prestation.
Metod För att uppnå studiens syfte har en kvantitativ metod med
deduktiv ansats använts.
Teoretiska perspektiv Studien grundar sig i tidigare forskning som undersöker
relationen mellan insiderägande och finansiell prestation.
Agent-principal teorin lägger fundamentan för studien.
Konflikter och informationsasymmetri förklarar problematiken som uppstår när kontroll och ägarskap är skiljt, medan signalering- och ledskapsincitament förklarar hur agentkonflikter kan minskas genom insiderägande.
Empiri Datan består av ägarskap -och bokföringsmässiga variabler för
325 företag listade på Stockholmsbörsens small, mid och
Largecap. Datan är hämtad från Holdings databas och
Bloomberg.
Resultat Resultaten visar på en positiv koefficient för insiderägande med
statistisk signifikans till finansiell prestation mätt som ROA.
För Tobins Q som beroende variabel finner studien en positiv
coefficient men inte med statistisk signifikans. (Less)
Please use this url to cite or link to this publication:
http://lup.lub.lu.se/student-papers/record/9041744
- author
- Melin, Melker LU ; Gerby, Jakob LU and Bjarte, Alexander LU
- supervisor
- organization
- course
- FEKH89 20202
- year
- 2021
- type
- M2 - Bachelor Degree
- subject
- keywords
- Insider Ownership, Financial Performance, ROA, Tobin´s Q, Asset Allocation, Decision Making
- language
- English
- id
- 9041744
- date added to LUP
- 2021-06-28 10:59:32
- date last changed
- 2021-06-28 10:59:32
@misc{9041744, abstract = {{Abstract Title Aligning ownership and control Seminar date 15 January 2021 Course Bachelor's Thesis in Corporate Finance (FEKH89) Authors Alexander Bjarte, Jakob Gerby, Melker Melin Thesis Advisor Anamaria Cociorva Key words Insider Ownership, Financial Performance, ROA, Tobin’s Q, Asset Allocation, Decision Making Purpose The aim of this study is to investigate whether equity ownership amongst the decision making management of a firm is positive for financial performance. Methodology In order to achieve the purpose of the study, a quantitative method with a deductive approach was used. Theoretical perspective The study relies on previous research on the relationship between ownership and financial performance. The Agent-principal relationship lays the foundation for the study. Agency conflicts and information asymmetry explaining how this relationship becomes problematic when ownership and control is divided. Signaling and managerial incentives explains how principal-agency conflicts could be mitigated through insider ownership. Empirical foundation The data consist of ownership -and accounting data for 325 firms listed on Stockholm Stock Exchange, small, -mid -and Large Cap. Data is collected from the Holdings database and Bloomberg. Results The results show a positive coefficient for insider ownership with statistical significance to financial performance measured as ROA. For Tobin's Q as dependent variable a positive coefficient for insider ownership is found but is not statistically significant.}}, author = {{Melin, Melker and Gerby, Jakob and Bjarte, Alexander}}, language = {{eng}}, note = {{Student Paper}}, title = {{Aligning ownership and control}}, year = {{2021}}, }