Corporate and Market Finance

Bondholder representatives on bank boards: A device for market discipline

We examine whether board representation of bondholders can be an effective market discipline mechanism to reduce bank risk, using a unique dataset combining information on bondholders and boards of directors of European listed banks. Our results show that the influence of bondholder representatives on the bank board significantly reduces bank risk without impacting profitability.

TRAN Phan Huy Hieu - Burgundy School of Business |

Research
Corporate and Market Finance

The role of multiple large shareholders in the choice of debt source

In this video, Wael Rouatbi presents his article entitled “The role of multiple large shareholders in the choice of debt source”, co-authored with Sabri Boubaker and Walid Saffar, and published in Financial Management in 2017. Using a large sample of French listed companies, this study shows that companies with multiple controlling shareholders tend to resort to bank debt financing.

ROUATBI Wael - MONTPELLIER Business School |