Corporate Governance: Role of Institutional Investors
Institutional investors have become predominant players in financial markets and their influence worldwide is growing. The abuse of power by many corporations has prompted increased the need for active institutional participation to enforce governance practices. Only institutional investors will have sufficient stake to be able to hold large corporations accountable. Encouraged by the institutional investors, responsible companies are now examining their own practices and are following good governance practices. For investors it's a good reason to cheer.
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