Question

Role of institutional investors in corporate governance

Answer 1

Institutional investors are major contributories of companies in India.Institutional investors play a proactive role in the corporate governance of companies in the United State and U.K. They monitor the decisions of the Board and help in building effective corporate governance practices in the firm.

Answer 2

Institutional investors are becoming important components of companies. ... They monitor the decisions of the Board and help in building effective corporate governance practices in the firm. Large institutional investors can convey private information that they obtain from management to other shareholders.