ABSTRACT

We investigate how the financialization of nonfinancial corporations (NFCs) affects corporate risk-taking. We find that NFCs’ financialization has an adverse effect on corporate risk-taking, supporting the “crowding-out” effect. Short-term financial investments undermine firms’ incentives to chase risky but profitable investment projects. The negative association between NFCs’ financialization and corporate risk-taking is more pronounced in state-owned enterprises and firms with lower institutional ownership, showing that financialization leads managers to become more myopic and reduce long-term investments. Further, the sensitivity of financialization and corporate risk-taking varies with financial asset classification. We address both selection and endogeneity concerns.

摘要

我们调查了非金融公司 (NFC) 的金融化如何影响公司的风险承担。我们发现 NFC 的金融化对企业风险承担有不利影响，支持“挤出”效应。短期金融投资会削弱企业追逐高风险但有利可图的投资项目的动力。NFC金融化与企业风险承担之间的负相关关系在国有企业和机构所有权较低的公司中更为明显，表明金融化导致管理者变得更加短视并减少长期投资。此外，金融化和企业风险承担的敏感性因金融资产分类而异。我们解决了选择和内生性问题。