Enterprise Group, Cash Holding and Credit Risk

DOI

10.2991/rac-18.2018.86How to use a DOI?

Keywords

enterprise group; credit risk; cash holding;property right nature

Abstract

Using the data of Chinese listed companies for 2011-2016 years, on the basis of defining enterprise groups, the relationship between enterprise group, cash holding and credit risk is studied from the perspective of the property property of the final controller of the enterprise group. The research shows that: first, compared with independent companies, the cash holding level of the listed companies belonging to the enterprise group is lower, and the cash holding of the listed companies of the private control group is lower than that of the listed companies of the state-owned control group; secondly, the level of cash holding and the credit wind at the public company level In the end, the negative relationship between cash holdings and credit risk is maintained only in private controlled enterprise groups at the enterprise group level. Besides, this paper also attempts to explore the mechanism behind the relationship between cash holding and credit risk in state-owned enterprises.

Copyright

© 2018, the Authors. Published by Atlantis Press.

Open Access

This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).

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TY  - CONF
AU  - Xiaofeng Xie
AU  - Yang Yang
AU  - Kai Xu
AU  - Zongfang Zhou
PY  - 2018/10
DA  - 2018/10
TI  - Enterprise Group, Cash Holding and Credit Risk
BT  - Proceedings of the 8th Annual Meeting of Risk Analysis Council of China Association for Disaster Prevention (RAC 2018)
PB  - Atlantis Press
SP  - 547
EP  - 553
SN  - 2352-5428
UR  - https://doi.org/10.2991/rac-18.2018.86
DO  - 10.2991/rac-18.2018.86
ID  - Xie2018/10
ER  -