Analysis Of The Impact Of Ownership Structure On Stock Price Synchronization

Stock price synchronization not only reflects the change of stock price of listed company with the stock market index,but also reflects how much company characteristic information is contained in the stock price of listed company.The operation of the capital market is to ensure the rational allocation of market resources,thus injecting more vitality into the real economy.Therefore,the lower the synchronization of the stock price of listed companies,the more conducive to reflect the real market value of listed companies,thus promoting the orderly development of the capital market and injecting power into the healthy and reasonable operation of the economy.Ownership structure refers to the proportion of shares held by different holders in the total share capital of a company.Based on four categories of ownership structure,from four perspectives of ownership concentration,fund shareholding ratio,executive shareholding ratio and non-state-owned capital shareholding ratio,this paper studies how different shareholding ratios of different holders of the total share capital of a company affect the synchronization of the company’s stock price.Through analyzing the existing literature,this article combed the equity structure in the equity concentration,fund holdings,executives shareholding stake and non-state capital four angles influence on stock price synchronicity paths,and selected from 2010 to 2020,China’s a-share market during the period of stock data as the research sample,and the data index adopted descriptive statistics analysis of the law.In addition,by comparing the selected sample panel data,this paper finally decided to use the fixed effect model to study the difference of stock price synchronization under different classification of ownership structure.The results show that: 1)From the perspective of ownership concentration,the more dispersed the shares held by shareholders of listed companies,the more likely the stock price of listed companies to change with the market trend.2)From the perspective of the shareholding ratio of institutional investors such as funds,the increase of their shareholding ratio will reduce the synchronization of the company’s stock price.3)From the perspective of executive shareholding ratio,equity incentive for management can significantly inhibit stock price synchronization of listed companies.4)From the perspective of the shareholding ratio of non-state-owned capital,the synchronization of stock price can be restrained by continuously promoting the introduction of social capital into state-owned enterprises and changing the current single ownership structure.This dissertation reveals how the stock prices of companies in China’s A-share market change with the market as A whole under different ownership structures,and puts forward targeted policy suggestions on the basis of theoretical analysis and empirical test.