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Mitigating financialization through oversight: The impact of investor site visits on Chinese listed firms

Author

Listed:
  • Ye, Xixi
  • Guo, Fanyong
  • Liu, Yuxuan
  • Qin, Shan
  • Zheng, Zhanhao

Abstract

This article examines the impact of investor site visits on corporate financialization, using data from on-site visits to Chinese A-share listed companies between 2011 and 2023, as well as data on corporate financialization investments. The findings demonstrate that site visits by institutional investors effectively mitigate the financialization investment behavior of listed companies. The influence of investor site visits on financialization investment behavior varies significantly among companies with different characteristics, levels of marketization, and sizes. Furthermore, investor site visits primarily exert a restraining effect on their financialization investment behavior through information mechanisms and corporate governance practices.

Suggested Citation

  • Ye, Xixi & Guo, Fanyong & Liu, Yuxuan & Qin, Shan & Zheng, Zhanhao, 2025. "Mitigating financialization through oversight: The impact of investor site visits on Chinese listed firms," Finance Research Letters, Elsevier, vol. 85(PD).
    • Handle: RePEc:eee:finlet:v:85:y:2025:i:pd:s1544612325014345
    DOI: 10.1016/j.frl.2025.108179
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    References listed on IDEAS

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    Keywords

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    JEL classification:

    • G34 - Financial Economics - - Corporate Finance and Governance - - - Mergers; Acquisitions; Restructuring; Corporate Governance
    • G14 - Financial Economics - - General Financial Markets - - - Information and Market Efficiency; Event Studies; Insider Trading
    • G32 - Financial Economics - - Corporate Finance and Governance - - - Financing Policy; Financial Risk and Risk Management; Capital and Ownership Structure; Value of Firms; Goodwill

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