| Multilayered capital markets are important characteristics which reflect national capital markets' development level.How to build multilayered capital markets is also the main target of government to construct capital markets.However,over the years the development of our country's capital markets is under unequilibrium condition,among them,the bond market's size is small and develop slowly,the main board market has high threshold with strict listing conditions.On the supply-side reform at present,how to promote the financial system to support the real economy's development is the focus issue of our country under the new normal of economy,and also the "New OTC Market" is one of the important measures to perfect our country's multi-level capital market system,which is of important value to promote the improvement of the financial system in our country.By early June 2018,the "New OTC Market" has 11300 listed companies,660.488 billion shares,352.998 billion unlimited circulation shares and the total market value is over 5 trillion.From the end of 2013 when the market began to accept enterprise listing application,the "New OTC Market" develops fast,and the enthusiasm of enterprises to participate is high,the "New OTC Market" will play an important role in the future.Although listed on the "New OTC Market" has many benefits for enterprises and investors,but also there are some problems such as relatively insufficient of information disclosure normative,not continuous trade way and poor liquidity,which increase the risk of investors.Compared with main board listed companies,the "New OTC Market"listed companies are small and medium-sized enterprises,which governance mechanism is not perfect enough and likely to have adverse effect on the long-term development of the enterprise.So could corporate governance promote the value of the company?Whether it can promote the "New OTC Market" listed companies'equity pricing efficiency and make the stock price reflect the company's profitability and operating performance timely and fully?Whether it can improve the "New OTC Market" listed companies'liquidity problem?Based on the consideration of the above problems,this paper use the mechanism of corporate governance as the breakthrough point,and use the "New OTC Market" listed companies' price-profit correlation and stock liquidity as the foothold,based on the 2013-2016 "New OTC Market" listed companies'annual data as samples for empirical research,then explore the corporate governance mechanism on the "New OTC Market"listed companies' equity transfer pricing,and carry out the following research:First,this paper probes into the effect of big shareholder control on the "New OTC Market" listed companies' price-profit correlation and stock liquidity.Study finds that the big shareholder control will strengthen the price-profit correlation but also it can reduce stock liquidity.Considering the influence of ownership balance,this paper finds that the ownership balance is not conducive to improve the price-profit correlation and also it can reduce the stock liquidity.In distinguishing between "New OTC Market"listed companies'different properties,market levels and the way to transfer,this paper finds that in terms of price-profit correlation,the big shareholder control can enhance the price-profit correlation in the non-state-owned companies,base layer companies and the market maker trading companies.In terms of liquidity,the big shareholder control will reduce the stock liquidity in non-state-owned companies,and also it has certain influence on different market levels and different way to trade companies.Second,this paper probes into the effect of institutional investors holding on the"New OTC Market" listed companies'price-profit correlation and stock liquidity.Study finds that there is no significant relationship between institutional investors and price-profit correlation.After distinguishing whether the institutional investors include brokers,this paper finds that the institutional investors holding will decrease the price-profit correlation in the firms which institutional investors include brokers,but increase this relationship in the firms without brokers.In terms of liquidity,the institutional investors will reduce the stock liquidity.In distinguishing between "New OTC Market" listed companies'different properties,market levels and the way to transfer,this paper finds that there is no significant relationship between institutional investors and price-profit correlation in different properties and market levels,but the institutional investors holding can reduce this relationship in market maker trading companies.In terms of liquidity,institutional investors will restrain the stock liquidity in the state-owned companies more.And this negative relationship will exit in different market levels and the way to transfer.Finally,this paper probes into the effect of ownership structure on the "New OTC Market" and the transmission channel formed by the accounting information quality between ownership structure and stock pricing.The study finds that big shareholder control can reduce discretionary accruals level,but it will not affect the "New OTC Market" company's accounting conservatism;institutional investors can increase discretionary accruals level,but it will not affect the "New OTC Market" company's accounting conservatism.The transmission channel tests show that the accounting information quality forms a transmission channel for the relationship between the big shareholder control and stock liquidity,which means that the big shareholder control will reduce the discretionary accruals level,thus reduce the stock liquidity.Similarly,the accounting information quality also forms a transmission channel for the relationship between the institutional investors and stock liquidity,which means that the institutional investors will reduce the discretionary accruals level,thus reduce the stock liquidity.But the mechanism of these two ownership structure are different,the big shareholder's intention lies in improving the quality of accounting information in order to meet the future information disclosure requirements when listing in the main board,which will reduce the big shareholder's motivation of selling stocks;while institutional investors do not play a role of supervision,but induce the short-term behavior of the management,which decrease the accounting information quality,and lead to a higher risk return rate,thus reduce the stock liquidity.Despite the poor quality of accounting information may increase the noisy traders leading to an increase of stock trading volume,the rising transaction costs may lead to an uncertainty expectation between investors in a larger extent.The net effect of the two mechanisms result in a decline in stock liquidity.In distinguishing between "New OTC Market" listed companies'different properties,market levels and the way to transfer,this paper finds that transmission channel exists in non-state-owned companies,base layer companies and the negotiating transfer trading companies.This paper has several differences from prior research:(1)A plenty of researches suggest that when the big shareholder exists,it becomes easier for the big shareholder to tunnel the enterprises,and damage the interests of minority shareholders.While in this paper,the study finds that in the "New OTC Market" companies,the big shareholder control can help to improve the information quality of listed companies,the main purpose of the big shareholder is to improve the quality of the accounting information in order to meet the future information disclosure requirements when listing in the main board,and also it will reduce the companies' stock liquidity.(2)As for institutional investors,a lot of researches consider that their supervision become effective tools to relieve agency conflict.While other studies based on our country also find that institutional investors are not entirely rational,which may increase the volatility of the stock market.In this paper,the study finds that in the "New OTC Market",the value discovery function of the institutional investors are restrained,which may not improve the quality of accounting information and promote the stock pricing efficiency.The main reason is that the "New OTC Market" institutional investor shareholding is in a lower level,and also the investors pay more attention to short-term returns,which is unfavorable to promote the improvement of the information quality and efficiency of pricing.(3)As for accounting information quality,a large number of studies have shown that the accounting information can help investors to assess risk faced by companies and improve the effect of investors' decision-making.However,based on the transmission channel,this paper finds that accounting information quality fails to improve the stock liquidity,suggests that the market regulatory environment in "New OTC Market" is poor,the information disclosure is not supervised effectively,and the listing companies can manipulate the accounting information to influence the stock liquidity.The contribution of this paper are as follows:(1)This paper enriches the study of OTC market pricing effect factors.The pricing mechanism in OTC market is different from the open market.While the prior researched don't give a depth analysis because of data limit.Based on the analysis of "New OTC Market" data,this paper enriches the study of OTC market pricing effect factors.(2)Extend the literature of the effect of small and medium-sized enterprises corporate governance on firm value.Prior research focuses on the listed company,while ignores the small and medium-sized enterprise samples.Based on the analysis of "New OTC Market" data,this paper explains the mechanism of corporate governance's influence on the firm value of small and medium-sized enterprises.(3)Reveal the effect of "New OTC Market" construction in China.This paper examines the effect of corporate governance on the "New OTC Market" equity transfer pricing mechanism,and finds that to a certain extent,the corporate governance can be perceived by investors and help to promote the companies'performance and value.The findings suggest that the "New OTC Market" construction in our country has received an initial success,and also provide empirical evidence on the effectiveness of multi-level capital market construction in our country. |
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