Research On The Influence Of Network Location On Stock Price Information Efficiency Of Listed Companies

In recent years,the market value of China’s securities market has grown significantly,with a strong momentum of development,attracting a large number of investors to participate actively.However,compared with mature securities markets,there is still a certain gap in their overall operating level.As a key participant in the market,the degree of information disclosure of listed companies is the guarantee for resource allocation in the securities market,and is also the basis for testing the effectiveness of the market.Therefore,in view of the actual situation of the current operation of China’s securities market,it is necessary to deeply analyze and explore the issue of stock price information efficiency.This article mainly studies the impact of network location on the information efficiency of listed companies’ stock prices by constructing a network of listed companies formed by institutional investors’ joint shareholding.Firstly,combining social network analysis methods with traditional economic analysis methods,selecting the shareholding data of stock based public funds as a sample,constructing a network of listed companies with listed companies as network nodes and institutional investors holding stocks as the edge.Secondly,the social network analysis method is used to quantify the network location of listed companies.The listed company which located at the center of the network means that it is jointly selected and held by more institutional investors.Due to the widespread concern of institutional investors,it is more difficult for such listed companies to conceal their own information in operation,thereby allowing more sufficient company information to be integrated into the stock price and driving the efficiency of stock price information to improve.Then empirical analysis of controlling shareholders in listed companies in the stock price information transmission process played a role.Finally,add the property rights indicators of listed companies to discuss the impact of network location on the information efficiency of listed companies’ stock prices under different property rights conditions.The research results show that:(1)The network location of listed companies has a significant positive impact on their stock price information efficiency.Listed companies located at the center of the network,under the joint supervision of more institutional investors,have a lower likelihood of concealing information,and their information will become more open and transparent,resulting in an increase in stock price information efficiency.(2)By analyzing the relationship between the network location of listed companies and their stock price information efficiency,it is found that institutional investors play a positive role in improving the information transparency of listed companies in China.(3)By reason of the needs of supervision and plunder perspective and market value management,research has found an inverted U-shaped relationship between the shareholding ratio of controlling shareholders and the information efficiency of listed companies’ share prices,and it confirms the dual nature of the behavior of the listed companies in which the controlling shareholders hold shares.(4)There is a "lack of ownership" problem in state-owned listed companies,In particular there are still significant deficiencies in the information transmission mechanism.By studying the efficiency of stock price information.Suggestions include: Chinese listed companies should increase their initiative in information disclosure,truly leverage the role of institutional investors as a "ballast stone",strictly regulate the information disclosure behavior of controlling shareholders of listed companies,and improve information transparency of state-owned listed companies.