Institutional Investor Field Research And Investor Protection Research

An important job of securities supervision is to protect the rights and interests of investors,because investors are the foundation of the capital market.The government has introduced a number of systems to protect investors,such as the March 2020 amendment to the Securities Law,which added a new chapter on investor protection.Enterprises must enhance the information transparency between them and the market,and let investors know the real situation of enterprises by disclosing more information so that they can better participate in corporate governance.Institutional investors are an important part of external oversight and can improve information transparency.Field research is the most direct way for investors to obtain information.However,field research by individual investors will generate additional costs,which is not in line with the cost-effectiveness principle.Institutional investors usually conduct field visits and pass on the non-public information obtained to the market and investors,so as to alleviate the information asymmetry and safeguard the rights and interests of investors.Based on this,from the perspective of field research of institutional investors,this paper combines the principal-agent theory,information asymmetry theory,signal transmission theory and tunnel effect theory to analyze and carry out empirical test.With 2013-2021 as the sample interval,firstly,A-share listed companies in Shenzhen Stock Exchange were taken as samples to test the impact of institutional investor field research on investor protection.Then,a three-step model of intermediary effect was established to test the partial mediating role of major shareholders’ evisceration behavior and information disclosure quality.Thirdly,in order to further improve the reliability of the conclusion,a series of robustness tests are carried out.In the heterogeneity test,the influence degree of institutional investors’ field research on investor protection is analyzed in different shareholding ratios,property rights and research environments.Finally,the relationship between institutional investor field research,investor protection and corporate value is further studied.This paper finds that: institutional investor field research can improve the level of investor protection.Specifically,by restraining the hollowing out of major shareholders and improving the quality of information disclosure,institutional investor field research can improve the level of investor protection.Through the heterogeneity test,it is found that when institutional investors hold a high proportion of shares in an enterprise,their motivation to supervise the management will be enhanced,their motivation to collude with the governance layer will be reduced,the quality of disclosure information will be improved,and the protection level of investors will be improved.In terms of property rights,compared with state-owned enterprises,field research of institutional investors in non-state-owned enterprises can improve the protection level of investors more significantly.In terms of research environment,institutional investor field research has a more significant level of investor protection for enterprises with a high degree of marketization.Further research shows that field research by institutional investors can promote the improvement of enterprise value,and put forward corresponding suggestions at the level of government,enterprises and investors.