Eauity Pledge Of Controlling Shareholders And Financial Risk Of Listed Companies

The high liquidity and easy liquidity of equity have widened the financing channels of listed companies.In particular,after 2013,the pledge business in the market developed rapidly,which promoted the rapid rise of the overall pledge of A shares.However,when the equity pledge is out of stock,its negative impact on listed companies and the market is huge.For example,in 2018,LeTV's mashing event alerted the market.In the equity pledge,the shareholding pledge of the controlling shareholder accounted for a high proportion.According to the Wande database,as of December 2018,the number of pledge shares of the controlling shareholder accounted for 95%of the total market pledge.Although equity pledge can solve the financing problem of listed companies and promote the development of the company,it will also cause listed companies to fall into financial difficulties or even bankruptcy.In previous studies,some scholars used case studies to study the relationship between controlling shareholders'equity pledge and financial risk,but lacked large-scale research.In this regard,this paper will take the 2010-2017 China Shanghai Stock Exchange and the Shenzhen Stock Exchange listed companies as the research object,the empirical research on the relationship between the controlling shareholder's equity pledge and financial risk.Firstly,this paper analyzes the status quo of equity pledge from the aspects of market value,quantity and structure of equity pledge,and puts forward the research problems,research methods,research significance and research innovations.Secondly,this paper combs the relevant literature from the three aspects of controlling shareholder pledge,financial risk and the relationship between the two,and reviews related theories.Then,based on the relevant literature and theoretical basis,the three research hypotheses of this paper are proposed and the model is constructed for testing.Next,this paper uses stata15 to process the collated data,and performs descriptive statistical analysis,correlation analysis,multiple regression analysis and robustness test.Finally,the relevant recommendations and research prospects of this paper are presented.The conclusions of this paper are as follows:(1)The controlling company's shareholding pledge has a positive impact on the listed company's financial risk.Compared with the listed company that has not held the controlling shareholder's equity pledge,the listed company that conducts the controlling shareholder's equity pledge has greater financial risk;The difference in the nature of property rights affects the relationship between the controlling shareholder's equity pledge and financial risk.The positive relationship between the non-state-controlled listed company and the controlling shareholder's equity pledge and financial risk of the state-controlled listed company is more obvious;(3)good company The performance will inhibit the relationship between the controlling shareholder's equity pledge and financial risk.