This Research Spotlight provides a summary of the academic literature on the impact of equity ownership on firm performance and agency problems: The relation between equity ownership and performance, yhe relation between equity ownership and future financial restatements, the impact of clawback policies on future restatements, the relation between equity ownership and insider trading, and the impact of insider trading policies on trading abuses. This Research Spotlight expands upon issues introduced in the Quick Guide “Equity Ownership.”
Copyright held by David F. Larcker and Brian Tayan. Further inquiries about reproduction and use should be directed to the Corporate Governance Research Initiative.
