Ali Kakhbod
Institution
UC Berkeley
PhD Year
2021
akakhbod@berkeley.edu
FTG Membership
Member
Website
http://www.akakhbod.com/
Featured Work
Aug 25, 2018
Advising the Management: A Theory of Shareholder Engagement
We study the effectiveness of shareholder engagement, that is, shareholders communicating their views to management. When shareholders and management have different beliefs, each shareholder engages more effectively when other shareholders engage as well. A limited shareholder base can thus prevent effective engagement. However, a limited shareholder base naturally arises under heterogeneous beliefs because investors who most disagree with management do not become shareholders. Passive funds,...
