외국인투자자의 투자기간이 기업의 투자-현금흐름 민감도에 미치는 영향

초록

This paper investigates whether investment horizons of foreign investors influence thesensitivity of the firms’ investment to internal cash flows. We argue that foreign investors’monitoring need and incentive of the firm increases with their length of time invested. Solong-term foreign investors mitigate asymmetric information and agency problems bytheir enhanced monitoring and thus lead to reduce investment-cash flow sensitivity. We find that investment-cash flow sensitivity does not decrease with foreign investorsholdings. But with considering their investment horizons, we find investment-cash flowsensitivity decrease in the presence of foreign investors with long-term investment horizonsand high ownerships. These empirical results are consistent with our argument thatthe effect of foreign investors on investment-cash flow sensitivity should take into accounttheir investment horizons.

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