The Study On The Influence Of The Ownership Structure Of The Chinese Real Estate Listed Companies To The Over-Investment

It is obvious that buying a house is one of the most vital things among the Chinese. Based on the top-level design of "new-type urbanization", which was put forward in the third plenary session of the eighteen, the construction wave of our country urbanization will keep on moving, also the regulatory policy of the real estate will continue to adjust and implement; Besides, the real estate is close connection with the macroeconomic that is also one of the key pillars of our economy, Along with the economic development of our country entering the’New Normal", the real estate industry goes into a speed-growing, structure-adjusting, policy-improving and quality-perfecting stage after years of rapid development. At the same time, with the rapid development of capital market in China, there are some new investment phenomenon have shown in listed companies, which is the inefficient investment While the phenomenon is mainly expressed as over-investment in China.This paper mainly reviews the related theories. Then use the data of the Chinese real estate listed companies and combine the specific ownership structure to analyze the excessive investment from both the theoretical and empirical aspects. According to the conclusion, corresponding suggestions about solving the over-investment of the Chinese real estate listed companies are presented. Firstly, this article sorts out both domestic and overseas theories and literature about ownership structure and over-investment. Meanwhile, the general overview about the current situation of the real estate industry and the ownership structure of the real estate listed companies is summarized. Then, the article reference Richardson’s (2006) residual model, which is about the real and expected investment. Using empirical analysis of the SPSS software, the article inspect whether the Chinese real estate listed companies have over-investment behavior. Meanwhile, the relevant equity structure variables are introduced to examine its effects on over-investment. Using the A-share real estate listed companies listed in Shanghai stock exchange and Shenzhen stock exchange as the initial sample, this paper employs continuous shares of financial reporting data for seven years (since 2007) after reform of the shareholder structure was basically completed in 2006 and sixty-nine valid sample companies are presented as the date base.The research conclusion of this article are the following:There exists over-investment behavior in real estate listed companies in our country, which accounting for 53.42% of the whole sample. Besides, the state-owned share proportion and over-investment has significantly positive correlation, and the same between legal person share proportion and over-investment, but it is not significant. Circulation A share proportion is negatively related to the over-investment and there is also a not significant negative correlation between institutional investors shares proportion and over-investment; The total number of the first big shareholder’s stake and the top 10 shareholders has a positive correlation with over-investment, but it is not significant; while the amount of the second to the tenth largest shareholders proportion has negative relationship to the over-investment, but it is not significant; Also the management shareholders has positive relationship to the over-investment, the two rights separation degree has negatively related to the over-investment, but both are not significant.