Institutional Ownership and Firm Performance - Evidence from Romania
This paper examines the impact of institutional ownership on the firm’s financial performance for a sample of 1,432 Romanian companies, in a time frame that range from 2008 to 2015. The effects of institutional ownership on performance is estimated using fixed effects model (FE), random effects mode...
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| Format: | Article |
| Language: | English |
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Ovidius University Press
2018-01-01
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| Series: | Ovidius University Annals: Economic Sciences Series |
| Subjects: | |
| Online Access: | http://stec.univ-ovidius.ro/html/anale/RO/wp-content/uploads/2019/02/25-2.pdf |
| _version_ | 1818135123052199936 |
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| author | Schank Milena - Jana |
| author_facet | Schank Milena - Jana |
| author_sort | Schank Milena - Jana |
| collection | DOAJ |
| description | This paper examines the impact of institutional ownership on the firm’s financial performance for a sample of 1,432 Romanian companies, in a time frame that range from 2008 to 2015. The effects of institutional ownership on performance is estimated using fixed effects model (FE), random effects model (RE) and a corrective model (PCSE) as methodology. The main results indicate the fact that between institutional ownership and firm performance is an inverse relationship, but the coefficient is insignificant from the statistical point of view. A potential explanation for these results consists in the fact that this category of investors is underdeveloped in the Romanian market and their evolution was not a smooth one but, on the contrary, it was hampered by the effects of the global financial crisis as well as by the national political and economic turmoil. |
| first_indexed | 2024-12-11T09:19:30Z |
| format | Article |
| id | doaj.art-27482d66d8484792a9941f01321fcda5 |
| institution | Directory Open Access Journal |
| issn | 2393-3127 2393-3127 |
| language | English |
| last_indexed | 2024-12-11T09:19:30Z |
| publishDate | 2018-01-01 |
| publisher | Ovidius University Press |
| record_format | Article |
| series | Ovidius University Annals: Economic Sciences Series |
| spelling | doaj.art-27482d66d8484792a9941f01321fcda52022-12-22T01:13:16ZengOvidius University PressOvidius University Annals: Economic Sciences Series2393-31272393-31272018-01-01XVIII2696701Institutional Ownership and Firm Performance - Evidence from RomaniaSchank Milena - Jana0West University of TimisoaraThis paper examines the impact of institutional ownership on the firm’s financial performance for a sample of 1,432 Romanian companies, in a time frame that range from 2008 to 2015. The effects of institutional ownership on performance is estimated using fixed effects model (FE), random effects model (RE) and a corrective model (PCSE) as methodology. The main results indicate the fact that between institutional ownership and firm performance is an inverse relationship, but the coefficient is insignificant from the statistical point of view. A potential explanation for these results consists in the fact that this category of investors is underdeveloped in the Romanian market and their evolution was not a smooth one but, on the contrary, it was hampered by the effects of the global financial crisis as well as by the national political and economic turmoil.http://stec.univ-ovidius.ro/html/anale/RO/wp-content/uploads/2019/02/25-2.pdfinstitutional ownershipfinancial performancecorporate governance |
| spellingShingle | Schank Milena - Jana Institutional Ownership and Firm Performance - Evidence from Romania Ovidius University Annals: Economic Sciences Series institutional ownership financial performance corporate governance |
| title | Institutional Ownership and Firm Performance - Evidence from Romania |
| title_full | Institutional Ownership and Firm Performance - Evidence from Romania |
| title_fullStr | Institutional Ownership and Firm Performance - Evidence from Romania |
| title_full_unstemmed | Institutional Ownership and Firm Performance - Evidence from Romania |
| title_short | Institutional Ownership and Firm Performance - Evidence from Romania |
| title_sort | institutional ownership and firm performance evidence from romania |
| topic | institutional ownership financial performance corporate governance |
| url | http://stec.univ-ovidius.ro/html/anale/RO/wp-content/uploads/2019/02/25-2.pdf |
| work_keys_str_mv | AT schankmilenajana institutionalownershipandfirmperformanceevidencefromromania |