Private Banks as Corporate Shareholders: Lessons from History
In the U.S. in 1906, the prominent private bank Kuhn Loeb – prompted by the scandal of the Armstrong Investigation – withdrew from the boards of all non-bank corporations. This historical announcement changed the course of corporate governance, and ultimately prevented private banks from being activist shareholders in the United States. In the paper “The Value of Private Banks in Corporate Governance: Evidence From the … [ Read more ]
Content: Article | Author: Miguel Cantillo | Source: IESE Insight | Subjects: Finance, History | Industry: Finance / Banking