Equity, Insider Trading, & Restatements

Equity, Insider Trading, & Restatements

By
David F. Larcker, Brian Tayan
CGRI Research Spotlight Series. April
2017

This Research Spotlight provides a summary of the academic literature on the impact of equity ownership on firm performance and agency problems:

  • The relation between equity ownership and performance
  • The relation between equity ownership and future financial restatements
  • The impact of clawback policies on future restatements
  • The relation between equity ownership and insider trading
  • The impact of insider trading policies on trading abuses

This Research Spotlight expands upon issues introduced in the Quick Guide “Equity Ownership.”