Preprint
Institutional Debt Holder Governance
SSRN
2020
Abstract
Using data on the universe of US-based mutual funds, we find that two out of five fund families hold corporate bonds of firms in which they also own an equity stake. We show that the greater the fraction of debt a fund family holds in a given firm, the greater its propensity to vote in line with the interests of firm debt holders at shareholder meetings, even when against ISS recommendation. Voting has direct policy consequences as firms that receive more votes in favor of creditors make corporate decisions more in line with the interests of debt holders
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Details
- Title
- Institutional Debt Holder Governance
- Creators
- Aneel KeswaniAnh L TranPaolo F Volpin
- Publisher
- SSRN
- Number of pages
- 1 Online-Ressource (54 p)
- Resource Type
- Preprint
- Language
- English
- Academic Unit
- Finance
- Identifiers
- 991021862282204721