TY  - RPRT
SN  - 2279-6894
PB  - IMT School for Advanced Studies Lucca
EP  - 30
A1  - Gianfagna, Laura
A1  - Rungi, Armando
Y1  - 2017/11//
ID  - eprints3842
TI  - Does corporate control matter to financial volatility?
AV  - public
M1  - imt_eic_working_paper
KW  - Keywords: corporate control
KW  -  stock price volatility
KW  -  multilevel model.  -  Jel codes: F23
KW  -  G32
N2  - In our contribution we study how the ownership channel affects the stock price volatility
of listed stock markets. In particular, we study how a linkage between a parent company and
its affiliates may drive differences in stock price volatility, within and across countries. We
exploit a worldwide dataset of stock-exchange listed firms, controlling for several financial
dimensions, to assess whether business groups matter to financial volatility. The answer is
positive and does not depend on the definition of volatility used. Our results contribute to
the corporate finance literature by defining the role of multinational corporate control in
financial markets, and to the financial stability literature by assessing corporate control as
an undiscovered channel of transmission for financial shocks.
UR  - http://eprints.imtlucca.it/3842/
ER  -