Corporate Governance, Institutional Investors and Conflicts of Interest

  • Ingley C
  • van der Walt N
  • 18

    Readers

    Mendeley users who have this article in their library.
  • N/A

    Citations

    Citations of this article.

Abstract

The paper outlines the problems of conflicts of interest for fiduciary shareholders with respect to the stock of publicly owned companies in their portfolios and considers various approaches proposed to address these problems. The questions of whether fiduciary problems are the result of a vacuum of ownership and an imbalance of power, and the extent to which regula- tory reform and shareholder activism can resolve these problems, are examined. From this analysis a framework is developed that describes the sources, outcomes and factors con- tributing to the effectiveness of conflict management in the context of the current investment environment. A series of recommendations for mediating conflicts of interest by changing board architectures are presented. These recommendations apply principles of participative corporate democracy to the overall governance system.

Author-supplied keywords

  • agency problem
  • board architecture
  • fiduciary standards
  • holder power
  • mediating hierarch
  • share-
  • stakeholders

Get free article suggestions today

Mendeley saves you time finding and organizing research

Sign up here
Already have an account ?Sign in

Find this document

Authors

  • C. Ingley

  • N. van der Walt

Cite this document

Choose a citation style from the tabs below

Save time finding and organizing research with Mendeley

Sign up for free