Tmt Characteristics,Equity Incentive And Earnings Management

Along with the market economy unceasing development and reform deepening,the implementation of equity incentive policy for senior executives in Chinese listed companies,especially private listed companies have become reduce the agency costs,an important means to improve the efficiency of decision making management.In recent years,the means of executive stock ownership incentive system has become more and more common in China,and it has been greatly improved in theory and practice.However,the equity incentive system has exposed many problems of corporate governance,among which the most important problem is that the system has become the motivation of earnings management.Management through earnings management and other means to exercise the conditions,expect to meet their own interests while the demand may damage the return of shareholders,is not conducive to the long-term development of the company.To solve this problem,the Commission(SCRC)at the end of 2015 also issued a"corporate equity incentive management(Draft)" Notice of public comment,intends to modify the original "management measures",improve the implementation effect.In order to study the regulatory role of senior management team background,the behavior of earnings management induced by equity incentive of senior listed companies in china.Firstly,based on the analysis of the related research in theoretical research on the form and characteristics of equity incentive,defines the management team characteristics,analyzes the characteristics of the private enterprises in our country at present,and based on the mechanism of principal-agent theory,incomplete contract,information asymmetry,human capital theory,management echelon theory explains the difference between the management team under the background of equity the incentive of earnings management behavior induced by.Secondly,on the basis of theoretical analysis,this paper makes empirical analysis on the implementation of equity incentive of listed private enterprises in China under the influence of the background characteristics of senior management team background.From 2006-2015 10 years of 972 private listed companies sample is constructed based on accrual earnings management as explanatory variables,the equity incentive as explanatory variables,age,education,tenure of TMT as a moderating variable regression model,the research on the influence of China’s regulation on the implementation of equity incentive in public enterprises on the degree of earnings manipulation and the characteristics of the senior management team through hierarchical regression method,and get the conclusion:(1)in Chinese private listed companies equity incentive subject matter more,enterprises through discretionary accruals earnings management behavior is greater;(2)the characteristics of executive team average age,education,tenure are on the relationship between equity incentive and earnings management has a significant moderating effect.Finally,some policy suggestions are put forward from the aspects of the design of the equity incentive program.