Impact Of Executive Changes And Executive Shareholdings On Share Price Volatility Of Companies Listed On The KCI

This article examines the impact of executive changes and executive shareholdings on stock price volatility of companies listed on the Science and Technology Innovation Board.The STB helps companies innovate in line with the national innovation-driven development strategy.The executives of Science and Technology Innovation Board are not only responsible for the company’s business performance and decision-making results,but also the core figures guiding the company’s technological innovation.As an important matter to be disclosed by listed companies,the change of executives of KCI Board has certain influence on stock prices.The implementation of equity incentives for KCI executives can guide the executives to combine their personal short-term interests with the long-term interests of the company,prompt the company and the technical team to improve the quality of R&D,and also can reduce the agency costs of the company by means of equity incentives.Therefore,this article has certain research significance.However,at present,scholars’ research on KCI only includes the institutional innovation of KCI,the relationship between KCI and other markets,and there are not many studies on the stock price fluctuation of KCI listed companies from the perspective of executive behavior in terms of executive change and executive shareholding,but more from the perspective of KCI system,market reaction and market information.Therefore,this article draws on the research ideas of scholars to study the influence of executive change and executive shareholding on stock price volatility in other markets,and innovates research perspectives and research methods to study the influence of executive change and executive shareholding on stock price volatility of companies listed on the science and technology innovation board.In this article,listed companies on the science and technology innovation board are selected as the research object,and stata15 is used to conduct an empirical study.Stock price volatility is selected as the explanatory variable,executive change and executive shareholding are the explanatory variables,company size,company profitability,company transparency,and investor trust are selected as control variables,and the attribute factors of company nature,concurrently or not,and in office or not are selected as dummy variables,and the corresponding conclusions are drawn through the analysis of multi-period DID model,time-point fixed effect model and variable coefficient panel data model in panel data model.Without considering other attribute factors,executive change and share price volatility of KCI listed companies change in the opposite direction,and executive shareholding and share price volatility change in the same direction;with considering company nature,part-time or not and incumbent or not,the effect of executive change and executive shareholding of KCI listed companies on share price volatility changes significantly,and the effect of executive change and executive shareholding of state-owned enterprises on share price volatility On the contrary,the effect of both part-time executive change and executive shareholding on stock price volatility is further enhanced compared to the non-part-time case,and the effect of both incumbent executive change and executive shareholding on stock price volatility is further stabilized compared to the outgoing case.Finally,based on the findings,we propose targeted recommendations from the perspective of KCI listed companies and KCI investors.