A Study On The Influence Of The Director Of Chief Financial Officer On The Enterprise Value Of Real Estate Listed Companies

The discussion of corporate governance in academy and practice has not stopped,and board governance is the key to corporate governance.Decision is the basic function of the board,the normative and effective board of directors ensures that the company has a long-term strategy,to maximize the interests of the relevant stakeholders,and that will be able to fully increase the value of the company.On the contrary,ineffective board of directors will cause the company more problems or even bankruptcy.So how to design and construct the board,improve the efficiency of decision-making has become the top priority of the board of directors.Corporate governance can alleviate information asymmetry and principal-agent issues,good corporate governance can mitigate inefficient investment behavior due to information asymmetry and entrusted agents.Board of Directors as a link between shareholders and managers,is the core of corporate governance,will undoubtedly have a significant impact on the efficiency of the company's investment.This paper discusses the issue of the impact of CFO's entry into the board of directors on the company's inefficient investment and corporate value.Based on the perspective of the board,this paper uses Fixed-effects regression to investigate the effect of CFO directorship to non-efficiency investment of listed companies,and divides inefficient investment into underinvestment and overinvestment.The study found,after CFO entered the board,they can effectively inhibit excessive investment in listed companies,and ease the problem of insufficient investment,but easing the underinvestment of listed companies is more significantly strong to overinvestment.These results indicate that,CFO on the board can improve their financial execution,play an effective role in governance,ease inefficientinvestment of listed companies,and thus improve the efficiency of company resources.But the CFO into the board did not play his financial expertise and some of the advantages of directors in the aspect of promoting the value of the company,on the contrary reducing the value of the company.And,excessive investment plays a mediating effect when CFO into the board of directors reduces corporate value.Finally,based on the empirical results,this paper analyzes the characteristics of China's real estate industry,proposed the proposal of improving the efficiency of investment and corporate.Which provides a reference for the governance of the board of directors and the improvement of our CFO system.