Empirical Research On The Impact Of Institutional Investor Heterogeneity On Corporate Performance

A long-term concern in corporate finance and corporate economics is how to improve the effectiveness of company performance and decision-making.Since the end of the 20 th century,the number of institutional investors in the global securities capital market has increased substantially,and the proportion of shareholdings has risen rapidly.Its importance in corporate governance is increasingly obvious.Therefore,the relationship between institutional investors' shareholding and company performance is studied.Become a research hotspot for scholars at home and abroad.However,the conclusions of relevant research are not the same.The reason is mainly because many scholars regard institutional investors as a whole to study their impact on company performance,but in fact the characteristics,investment behaviors of different types of institutional investors,There are often differences in the purpose of investment,etc.,so the research done as a whole is naturally biased.This paper mainly studies the influence of institutional investors' overall shareholding and heterogeneity on company performance.The main structure is as follows: Firstly,the background and significance of the topic are briefly introduced.Secondly,this paper analyzes the institutional investors' shareholding and corporate governance from a theoretical perspective.The relationship between company performance,and then the relationship between research institutional investors and company performance,needs to consider its heterogeneity;then,the institutional investors are classified,this paper uses two methods,one is to invest in securities Funds,qualified foreign investors(QFII)and social security funds are divided into independent institutional investors,which divide brokers,insurance companies,trust companies,annuities into non-independent institutional investors,and the other is based on institutional investors' turnover rate.Divided into long-term institutional investors and short-term institutional investors.This paper takes the A-share listed companies in Shanghai and Shenzhen from 2007 to2017 as the research sample,and uses the non-balanced panel data fixed effect test method to empirically test the difference between the overall shareholding and heterogeneity of institutional investors on the company's performance.Impact,while taking into account endogenous problems,the robustness test is performed by the instrumental variable method.The research results show that:(1)the overall shareholding of institutional investors has a significant effect on the company's performance;(2)the institutional investors are divided into independent and non-independent institutional investors,domestic institutional investors and qualified foreign institutions.The empirical research after QFII found that independent institutional investors and domestic institutional investors have more obvious effects on corporate performance;(3)institutional investors are classified into long-term institutions based on institutional investor turnover rate standards.Investors and short-term institutional investors,research shows that long-term institutional investors promote the company'sperformance more clearly;(4)by studying the channel mechanism of institutional investors' shareholdings affecting company performance,we can find that independent institutional investors It can play an active role by monitoring incentive channels and easing financing constraints,and can inhibit excessive investment by companies.