Posted 1/4/2024, 10:04:03 PM
Electronic Voting Boosts Shareholder Participation, Increasing Corporate Cash Value
- Electronic voting increases shareholder participation in firm governance, raising market value of cash holdings
- Study examines impact of electronic voting on cash holdings value for 12,207 Korean firms from 2015-2021
- Firms adopting electronic voting have greater market valuation of cash, especially those with more free cash flow
- Effect more pronounced for firms with higher minority shareholder ownership, easing participation
- Findings offer insights for policymakers considering electronic voting to improve governance