Research On The Impact Of The Management Shareholding Of GEM Listed Companies On Company Performance

With the improving of China’s comprehensive national strength,the development of the securities market is more and more quickly and perfect.Finally,after ten years of generating in China’s capital market,the GEM market officially landed on the Shenzhen Stock Exchange in October 2009 after the main board and the SME board,happening of this event in China’s economic development has a long way to go.Up to now,after 7 years of growth,the GEM market has become an important part of China’s multilevel capital market.Most of the companies listed on GEM in our country have the characteristics of high growth,high innovation,high technology,small scale and high risk.In addition,the distribution of family enterprises in the GEM is more generally,so the managerial ownership is higher than other board.While managerial ownership has been used as an incentive method in modern enterprises,but a series of corporate governance issues such as principal-agent problem and the ethical risks of managers are following.Therefore,the current domestic and foreign scholars have been related to the management of ownership as a core issue of the company’s research.However,most of the domestic scholars are more tend to study the main board and the SME board,the emerging areas of the GEM is still shallow,so,this paper choose the GEM board to research have certain innovation and research value to some extent.Based on the above background,this paper from two perspectives to do the correlation analysis,one is theoretical research and the other is empirical analysis.First of all,through combing the domestic and foreign research results,based on China’s national conditions,combined with the relevant corporate governance theories,summed up the current situation of China’s GEM listed companies and the existing problems.Secondly,by selecting 1650 sample data of 497 GEM listed companies from 2012 to 2015,ROE is used to measure the performance of the company,However,in order to ensure the reliability of the conclusion,this paper also selects another dependent variable EPS to test the stability.Set of explanatory variables--MSR and six control variables to construct three empirical models,then use statistical knowledge for descriptive analysis,correlation analysis and regression analysis.the final analysis it is concluded that:There is a non-linear correlation between the managerial ownership and corporate performance of Listed Companies in GEM,and the two were N-shaped curve.That is,the corporate performance increases with the increase of the managerial shareholding ratio and then rises again.Finally,this paper puts forward some suggestions such as standardizing the managerial ownership system,optimizing the ownership structure of the enterprise,accelerating the separation of ownership and management right and implementing the internal restraint mechanism,perfecting the capital market legal system,accelerating the cultivation of the professional manager market,at the same time,pointing out the lack of research and future direction in the end of this paper.