Controlling Shareholder's Equity Pledge,Cash Flow Uncertainty And Financial Risks Of Listed Companies

At present,the downward pressure on the macro economy is increasing,and the liquidity in the capital market is insufficient.Against this background,equity pledges are prevalent,and at the same time,fluctuations in the capital market also bring greater financial risks to listed companies.Although on the surface,equity pledge is the controlling shareholder's own financing behavior and financial decision,but based on the controlling shareholder's control over listed companies and the prevalence of a dominant phenomenon in China,the controlling shareholder's own equity pledge behavior is Risk has an important impact.At present,the research on the economic consequences of equity pledge in academia mainly focuses on company performance,corporate innovation,earnings management,etc.,but less research on enterprise risk management.Therefore,it is of great theoretical and practical significance to explore the specific path in which the controlling shareholder's equity pledge affects the financial risks of listed companies,and to clarify the impact of cash flow uncertainty on the relationship between the twoBased on a theoretical analysis of the controlling position and behavior of the controlling shareholder,this article uses the Shanghai and Shenzhen A-share listed companies from 2014 to 2018 as a research sample to empirically study the specific impact of the controlling shareholder's equity pledge behavior on the financial risk of the listed company.Perspective to further explore the specific path of the impact of equity pledge on financial risk.In addition,this article also considers the impact of the nature of the controlling shareholder's equity on the relationship between equity pledge,cash flow uncertainty,and financial riskThe research conclusions of this paper are as follows:First,the controlling shareholder's equity pledge behavior has a positive correlation with the financial risk of listed companies.Listed companies whose controlling shareholders have pledged equity have higher financial risks,and the higher the controlling shareholder's equity pledge rate,the greater the listed company's financial risks.Second,the uncertainty of cash flow plays a part of the intermediary effect between the controlling shareholder's equity pledge and the financial risk of the listed company,that is,the impact of equity pledge on financial risk will be partially realized through the cash flow uncertainty.Third,compared to state-owned enterprises,the negative impact of equity pledge of controlling shareholders in non-state-owned enterprises on the financial risks of listed companies is more significant.Fourth,compared with state-owned enterprises,the uncertainty of cash flow in non-state-owned enterprises has a stronger intermediary effect between the controlling shareholder's equity pledge and the financial risks of listed companies.Based on the above research conclusions,this article puts forward suggestions from three aspects:improving the disclosure system of equity pledge information,paying attention to the cash flow uncertainty of listed companies,and strengthening the monitoring of creditors' external risks.