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Shareholdings by insurance institutions, internal control, and corporate financial robustness

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  • Wu, Xian
  • Chang, Wei

Abstract

Using data on Chinese A-share listed companies from 2009 to 2023, this paper examines the impact of insurance institutions' shareholdings and internal control on corporate financial robustness. The study finds that both insurance institutions' shareholdings and internal control significantly enhance financial robustness. The moderating effect analysis shows that insurance institutions' shareholdings exert a significant moderating role in the relationship between internal control and financial robustness. Heterogeneity analysis indicates that the impact of insurance institutions' shareholdings on financial robustness is more pronounced in firms with a higher proportion of independent directors. The effect of internal control on financial robustness is more significant among privately owned enterprises (PEs).

Suggested Citation

  • Wu, Xian & Chang, Wei, 2026. "Shareholdings by insurance institutions, internal control, and corporate financial robustness," Finance Research Letters, Elsevier, vol. 89(C).
    • Handle: RePEc:eee:finlet:v:89:y:2026:i:c:s1544612325025206
    DOI: 10.1016/j.frl.2025.109271
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    References listed on IDEAS

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    Full references (including those not matched with items on IDEAS)

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