Corporate Governance Policy and Company Performance: The Case of Portugal

• Type: Article in International Scientific Journal
• Date: 2004

Authors

Carlos Alves (Author) FEP; Victor Mendes (Author) Other

Journal

Title: Corporate Governance: an International Review

Vol. 12 No. 3

Pages: 290-301

Publisher: John Wiley & Sons

Indexing

ISI Web of Science - 29 Citations

Scopus - 44 Citations

Other information

Resumo (PT): Several supervisory authorities and governmental working groups issued corporate governance best practice codes for listed companies during the nineties. In this paper, we used a unique database that allowed us to analyse the relationship between the level of compliance of the code of best practices issued by the Portuguese Securities Market Commission and the returns of the concerned companies. By using a multifactor model, one can conclude that there is a positive relationship between the compliance of some of these recommendations and the returns that were determined. The recommendations on the structure and functioning of the executive board deserve a special attention. However, globally, CMVM’s code of best practices doesn’t have a systematic effect on firm returns.

Language: Portuguese

Type (Professor's evaluation): Scientific