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https://doi.org/10.15179/ces.23.2.4

The Role of Institutional Investors in Corporate Governance of Their Portfolio Companies – The Case of Croatia

Ivana Đunđek Kokotec ; Faculty of Organization and Informatics, University of Zagreb, Croatia
Silvije Orsag ; Faculty of Economics and Business, University of Zagreb, Croatia
Marina Klačmer Čalopa ; Faculty of Organization and Informatics, University of Zagreb, Croatia


Puni tekst: engleski pdf 1.177 Kb

str. 105-129

preuzimanja: 1.195

citiraj


Sažetak

The goal of this research is to examine the involvement of institutional investors in the corporate governance of companies in their portfolio by analyzing characteristics of institutional investors with respect to the type of investment, investment time horizon, and degree of involvement in the process of managing a company. The paper will outline the attitudes of managers on the level of investors’ involvement in the governance process in order to identify determinants of investment decisions, decisions to take corrective actions to enhance corporate governance, or decisions to leave the ownership structure. A qualitative approach was chosen, consisting of a series of structural interviews with 25 fund managers of different types of institutional investors. The results indicate that institutional investors are involved in the corporate governance of their portfolio companies, and that control mechanisms they use include voting rights, direct communication with the management with the aim of discussing strategies for future development, and collaboration with other institutional investors in the ownership structure.

Ključne riječi

institutional investors; corporate governance; control mechanisms; portfolio investment style; conceptual analysis

Hrčak ID:

267239

URI

https://hrcak.srce.hr/267239

Datum izdavanja:

15.12.2021.

Posjeta: 2.306 *