Ownership Structure And Investment With Net Cash Flow-empirical Analysis Of China Private Listed Companies

With the high speed growth of economics in our country, the speed growth of theinvestment, too hot investment, and the blind diversification of the public country leadto the attention of the investment. Particularly during present, the financial crisis hasjust passed, our country is working hard at recovery of the economics, and theincrease of efficiency of investment is a very important part of the process. Based onthe agent theory and information asymmetries theory, through tidying up the relevantliteratures about the sensitive research of the investment and cash flow, the articleanalyses the relation between equity structure and sensitivity of the investment andcash flow. Finally find out the reason of the low efficiency of investment in ourcountry.Using the regression analyze in spss, this article summarize the regressionanalysis for the panel data of the1213listed companies in shanghai and Shenzhenfrom year2007-2010. After the empirical study, we find that the investment behavioris sensitive to the cash flow. Considering of the high share concentration ratio and theownership absence of the state-owned share in our country, the nature of the first bigowner, the share concentration ratio and the share balance degree which indicate thestructure of the share are used as the cross term of the cash flow, to analyze the sharestructure effects on the sensitivity between the investment and the net cash flow. Theresearch finds that the public shares and investment cash flow sensitivity showed asignificant negative correlation between. This shows that, when the circulation ofpublic shares proportion is large, the circulation stock shareholder gets through thecontrol power market of listed company struggle, use market mechanism, to themanagement of investment conduct of supervision. When the first major shareholderof state-owned shares, the proportion of state-owned shares and investment cash flowsensitivity showed a significant positive correlation between the first majorshareholder; corporate shares, with the shareholding ratio of the corporate shareincrease, large shareholder monitoring management behavior motivation and abilityenhancement, and due to the large shareholders and corporate value consistency largeshareholders, pay more attention to the long-term development of enterprises, so as toweaker investment cash flow sensitivity. The ownership concentration degree, thisarticle according to the proportion of the first shareholder were grouped, divided into equity high dispersion, relative holdings, highly concentrated ownership in three partscarries on the contrast analysis, it was found, in the state holding listed companies,ownership concentration and investment cash flow sensitivity nonlinear relation; thelegal person holding listed companies the company showed a U shaped nonlinearrelation. After the equity balance degree regression analysis, found that equity balanceto a certain extent, can effectively reduce the investment-cash flow sensitivity.