Research On The Sloth Of Institutional Investors Participating In Corporate Governance

In the global market, there has been a strong trend for institutional investors to be involved in the corporate governance these years. Now institutional investors of our country have also developed dramatically and became the backbone of the stock market. The paper is aimed at doing research about the behaviors of institutional investors, especially funds, concerned with the corporate governance in Chinese market, with the method of data analysis and case study. Additionally, we advance some necessary steps to rectify improper behaviors accordingly.The thesis is based on the following logic to develop the viewpoints. First, we deal with the foreign and domestic research results and the research trend of corporate governance, basing on which I present out my research topic and its significance. In the second chapter we argued against the traditional models for corporate governance, and put forward with a new model for financial intermediate to take a role in corporate governance, basing on the angle of stock market, do the theoretical analysis with the sloth behavior of institutional investors who participate to the corporate governance. In the third chapter, we take a view at the development process of foreign institutional investors' shareholder, trying to learn from those experiences. And explain the inside reason of the sloth behavior. Furthermore, we launch a home research, studying the behaviors of institutional investors in corporate governance. Our research is mainly carried out by figuring out the extent of involvement of intuitional investors in corporate governance, and the relationship between institutional ownership and corporate performance. Results suggest that corporate performance is not positively related to the institutional ownership. At the end, we bring forward advises for how to regulate the improper behaviors of institutional investors in China.The conclusion of this thesis is that no strong relationship exists between the corporate performance and institutional ownership, so they have not been deeply involved in the corporate governance. The sloth of institutional investors who participates the corporate governance has been a widespread phenomenon in our country. Therefore, Carry out the activism of institutional investors set up the participating system as center of the activism of shareholders will be advantageous, and improve the condition of corporate governance.This text mainly use empirical research method, through discovering and analyzing realistic data analysis and the market concern to talk about, make superficial study to the behavior of institutional investors in our country ,and hope this topic of the research causes the attention and thinking in the academic circles, hence to push forward the research of this realm.