Institutional Investors and Shareholder Litigation
研究机构投资者能否规避未来诉讼，发现它们会在诉讼开始前减持或清仓被诉公司股票，且高监督能力的机构交易更主动。
We examine whether institutional investors are able to avoid future litigation. Our results show that institutions provide a fiduciary role by decreasing or eliminating their positions in sued firms well before litigation begins. We also find that institutional groups with high monitoring ability (independent investment advisors and mutual funds) are more proactive in their trading behavior than are institutions with low monitoring ability (banks, insurance companies, and unclassified institutions such as endowments, foundations, and self‐managed pension funds). We find that percentage changes in institutional ownership are correlated with public information available more than two quarters before litigation.