TY - JOUR
T1 - State ownership, sovereign wealth fund and their effects on firm performance
T2 - Empirical evidence from Vietnam
AU - Kubo, Katsuyuki
AU - Phan, Huu Viet
N1 - Funding Information:
The authors are indebted to Huong Pham Thu, Tuan Le Anh (Saigon Securities Inc.), and Lan Nguyen Huong (Vietnamese State Securities Commission) for assistance in the provision of the data used in this study. We thank Mr. Nguyen Huu Nghia and Dr. Le Thi Bang Tam for sharing their views on corporate governance in Vietnam. The authors also gratefully acknowledge the useful comments of delegates at the 10th Biennial Pacific Rim Conference organized by the Western Economic Association International and the Annual Conference of the Nippon Finance Association and by seminars' attendees at Osaka University, Research Institute of Economy, Trade and Industry (RIETI), Vietnam National University, University of Business and Economics and Waseda University. Katsuyuki Kubo acknowledge the financial support of a JSPS Core-to-Core Program, A. Advanced Research Networks, JSPS KAKENHI Grant Numbers 15K03560 and 15H01958 and Waseda University Grant for Special Projects (2018K-175). Usual disclaimer applies.
Publisher Copyright:
© 2019 Elsevier B.V.
PY - 2019/12
Y1 - 2019/12
N2 - This study investigates the effects of state ownership on firm performance using data on listed firms in Vietnam. We find that state ownership of listed firms is positively related to firm performance. In addition, we find that the effects of state ownership vary depending on the type of state ownership. Firms perform best when controlled by a state owner in the form of a sovereign wealth fund. We also find that the relationship between state ownership and firm performance is nonlinear. Overall, the study contributes significantly to the growing body of evidence on the effects of state ownership, the impact of the type of state owner, and the role of controlling shareholders in corporate governance frameworks.
AB - This study investigates the effects of state ownership on firm performance using data on listed firms in Vietnam. We find that state ownership of listed firms is positively related to firm performance. In addition, we find that the effects of state ownership vary depending on the type of state ownership. Firms perform best when controlled by a state owner in the form of a sovereign wealth fund. We also find that the relationship between state ownership and firm performance is nonlinear. Overall, the study contributes significantly to the growing body of evidence on the effects of state ownership, the impact of the type of state owner, and the role of controlling shareholders in corporate governance frameworks.
KW - Controlling shareholders
KW - Corporate governance
KW - Firm performance
KW - Ownership structure
KW - State ownership
KW - Vietnam
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U2 - 10.1016/j.pacfin.2019.101220
DO - 10.1016/j.pacfin.2019.101220
M3 - Article
AN - SCOPUS:85074798398
SN - 0927-538X
VL - 58
JO - Pacific Basin Finance Journal
JF - Pacific Basin Finance Journal
M1 - 101220
ER -