Active Institutional Shareholders and Costs of Monitoring: Evidence from Executive Compensation
通过模型和实证检验，发现机构投资者监督成本越低，对高管薪酬的绩效敏感度和水平影响越大，但公司特定监督成本高时会削弱这种效果。
Although evidence suggests that institutional investors play a role in monitoring management, not all institutions are equally willing or able to serve this function. We present a stylized model that examines the effects of institutional monitoring on executive compensation. The model predicts that institutions' influence on managers' pay-for-performance sensitivity and level of compensation is enhanced when institutions have lower implied costs of monitoring, but that these effects are attenuated when the firm-specific cost of monitoring is high. Our empirical results are broadly consistent with these implications, suggesting that independent investment advisors and investment company managers have advantages in monitoring firms' management.