Cross-listing, one important feature of financial globalization, has become a valuable linkage that connects Mainland China and global capital markets. According to literatures on cross-listing, corporate governance and geography of finance, Chinese companies are supposed to benefit from the cross-listing in terms of corporate governance improvement. By investigating the corporate governance and performance of Hong Kong cross-listed companies as well as those domestic listed ones, this study shows that companies that were both listed on the Hong Kong and the A-share market enjoyed obvious advantages in corporate governance and performance.

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Cross-Listing as a Means to Improve the Corporate Governance of Domestic Listed Companies on the Chinese Stock Markets

  • Simon X.B. Zhao,
  • Yan Bo,
  • Neo Ying Ming Chan

摘要

Cross-listing, one important feature of financial globalization, has become a valuable linkage that connects Mainland China and global capital markets. According to literatures on cross-listing, corporate governance and geography of finance, Chinese companies are supposed to benefit from the cross-listing in terms of corporate governance improvement. By investigating the corporate governance and performance of Hong Kong cross-listed companies as well as those domestic listed ones, this study shows that companies that were both listed on the Hong Kong and the A-share market enjoyed obvious advantages in corporate governance and performance.