Research Of The Influence Of Foreign-Holding On The Crash Risk Of Stock Price

The influencing factors and mechanism of stock price collapse risk of listed companies have always been a hot issue in academic research.As an increasingly important external governance mechanism,foreign capital ownership has attracted the attention of scholars at home and abroad in recent years.As for the specific impact of Foreign shareholding on listed companies and its stock price in China's capital market,scholars believe that foreign shareholders are more active than domestic ordinary investors in investment behavior,which to a certain extent can promote listed companies to improve the comprehensiveness and credibility of listed companies.On this basis,this paper takes A-share listed companies as samples for empirical analysis.Samples include companies listed only in A shares,as well as companies cross-listed in A shares and B shares(or H shares).The first part of the empirical analysis mainly uses theoretical analysis and empirical results to examine whether foreign ownership will affect the risk of stock price collapse.The second part is based on the empirical analysis of the first part.The impact mechanism of foreign ownership on the risk of stock price collapse is further analyzed.That is to say,foreign capital restrains the risk of stock price collapse by controlling the risk of listed companies' own operation and management,or reduces the risk of stock price collapse by increasing the content of specific information in the stock price and reducing the synchronization of the stock price.Firstly,for A-share listed companies as a whole,foreign ownership can reduce the risk of stock price collapse to a certain extent,but for state-owned enterprises,the effect of foreign ownership is not as good as that of private enterprises.Secondly,the main mechanism of the impact of foreign shareholding on the risk of stock price collapse is that foreign shareholding can promote the integration of specific information and stock price of listed companies,so that companies can actively reduce the synchronization of their own stock prices,thereby reducing the risk of stock price collapse of listed companies.