Research On The Relationship Between Institutional Investors' Ownership And Earnings Quality Of List Companies

As China's capital market increasingly expansion, the listed company increases gradually, institutional investors appeared. Because of the funds, professional institution investors has special advantage, its market shareing is expanding and gradually become an integral member of the capital market, and playing an important role on the capital market's developing. The listed company earnings quality is not only an important basis for decision-making stakeholders, but also the external investor benefit protection of important protection, is also the focus of government and social supervision. At present, however, there is a widespread surplus listed company manipulated phenomenon, directly affect the earnings quality of listed company, strengthen supervision and control surplus one of the effective measures to control behavior. Chinese investors as a listed company of its shares held by shareholders of corporate governance especially supervision and management can play a role, institutional ownership whether it helps to improve the quality of surplus problems worth our in-depth research. In this paper, on the basis of the domestic and foreign research on institutional shares and earnings quality between theory and empirical studies, this reasoning for the development of Chinese institutional investors and corporate earnings quality improving policy recommendationsThis paper is made up of the following five parts:The first part is the introduction to this paper, an introduction to the background and significance of the research, research, summary and research ideas and research methods, clarify this paper studies the innovation points and contribution;The second part is the institutional investor'ownership and earnings quality theory analysis. This paper firstly define institutional investor'ownership, earnings quality and measurement criteria, then define a theoretical analysis of institutional investor'ownership and earnings quality; The third part is the institutional investor' ownership and earnings quality relationship, analyses the current situation of Chinese institutional investors. In this article first introduce the current situation, and then analysis institutional investor' ownership restricting our influence factors of earnings quality;The fourth part ownership for institutional investors and earnings quality empirical research, this paper using a listed company in China in 2007 to 2009 financial data and institutional investor' ownership data, a model for correlation and regression analysis, but also the scalability testing chat, validation of institutional ownership listed company with the relationship between the earnings quality;The fifth part is the conclusion and suggestion are given, summarizes research conclusion, related Suggestions, deficiency and prospect.The results of this study indicate that in certain circumstances, there is the relationship between institutional investor' ownership and earnings quality, look from whole, institutional investor' ownership and earnings quality positive correlation. But because of institutional investors, investment strategy different heterogeneity exists, leading to the correlation and earnings quality is different. The innovation of this paper lies in the institutional investors consider heterogeneity of institutional investors, and earnings quality correlation holding classified research, and verifies the different types of institutional shares and earnings quality correlation between different conclusions. Offset in the research field in the defects.