Financial crisis and corporate governance in the financial sector: Regulatory changes and financial assistance in Germany and Europe
Publikation: Beiträge in Zeitschriften › Zeitschriftenaufsätze › Forschung › begutachtet
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in: International Journal of Disclosure and Governance, Jahrgang 9, Nr. 4, 11.2012, S. 331-347 .
Publikation: Beiträge in Zeitschriften › Zeitschriftenaufsätze › Forschung › begutachtet
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TY - JOUR
T1 - Financial crisis and corporate governance in the financial sector
T2 - Regulatory changes and financial assistance in Germany and Europe
AU - Stiglbauer, M.
AU - Fischer, Thomas
AU - Velte, Patrick
PY - 2012/11
Y1 - 2012/11
N2 - The recent financial crisis has led to a loss of trust in the quality of corporate governance and the balance of the European financial market. These issues have also affected Germany. In Germany, financial companies’ compliance with the German Corporate Governance Code represents a basic standard for ‘good’ corporate governance. We find that cooperation between management boards and supervisory boards, as well as monitoring by supervisory boards, must be improved. Improvement is also necessary for corporate governance reporting and the implementation of the ‘pay for performance’ principle. Our analysis supports the critical remarks by the European Commission (EC) in its current Corporate Governance Green Papers for the financial sector regarding the limited ability of the present corporate governance reporting to support stakeholders’ decision making. Among other reforms, the EC intends to professionalize supervisory board members, reduce conflicts of interest by limiting multiple mandates of board members, and increase the significance of corporate governance reporting by supervision of the reports.
AB - The recent financial crisis has led to a loss of trust in the quality of corporate governance and the balance of the European financial market. These issues have also affected Germany. In Germany, financial companies’ compliance with the German Corporate Governance Code represents a basic standard for ‘good’ corporate governance. We find that cooperation between management boards and supervisory boards, as well as monitoring by supervisory boards, must be improved. Improvement is also necessary for corporate governance reporting and the implementation of the ‘pay for performance’ principle. Our analysis supports the critical remarks by the European Commission (EC) in its current Corporate Governance Green Papers for the financial sector regarding the limited ability of the present corporate governance reporting to support stakeholders’ decision making. Among other reforms, the EC intends to professionalize supervisory board members, reduce conflicts of interest by limiting multiple mandates of board members, and increase the significance of corporate governance reporting by supervision of the reports.
KW - Management studies
KW - corporate governance
KW - Europe
KW - financial crisis
KW - financial sector
KW - Germany
KW - regulatory changes
UR - http://www.scopus.com/inward/record.url?scp=84868113479&partnerID=8YFLogxK
U2 - 10.1057/jdg.2012.8
DO - 10.1057/jdg.2012.8
M3 - Journal articles
VL - 9
SP - 331
EP - 347
JO - International Journal of Disclosure and Governance
JF - International Journal of Disclosure and Governance
SN - 1741-3591
IS - 4
ER -