Corporate Law and Financial Instability

Nonfiction, Reference & Language, Law, Banking, Corporate
Cover of the book Corporate Law and Financial Instability by Andreas Kokkinis, Taylor and Francis
View on Amazon View on AbeBooks View on Kobo View on B.Depository View on eBay View on Walmart
Author: Andreas Kokkinis ISBN: 9781351972772
Publisher: Taylor and Francis Publication: November 20, 2017
Imprint: Routledge Language: English
Author: Andreas Kokkinis
ISBN: 9781351972772
Publisher: Taylor and Francis
Publication: November 20, 2017
Imprint: Routledge
Language: English

Virtually all large banks and other financial institutions in the UK and internationally are public limited liability companies whose shares are listed on one or several stock exchanges. As such, their corporate governance and, in particular, the incentives faced by their directors and senior managers are to a significant extent determined by corporate and securities law rules such as directors’ duties, directors’ liability in insolvency, takeover regulation, disclosure obligations, shareholder rights and rules on executive remuneration. At the same time, systemically important financial institutions in the UK are licensed, regulated and supervised by the Prudential Regulation Authority (PRA).

This book explores the relationship between, on the one hand, the broader corporate law, corporate governance and securities law framework and, on the other, the prudential regulatory framework. Although the book’s main focus is on UK law, much of the policy argumentation is relevant globally and therefore appropriate international comparisons are drawn, and analysis of EU law and regulation is included. The book argues that the corporate law regime, which focuses on shareholder empowerment and profit maximisation, operates as an antithesis to prudential regulatory objectives thus undermining the safety and soundness of banks and other financial institutions by encouraging risky behaviour that may be in the best interests of their shareholders, but is clearly not in the public interest.

View on Amazon View on AbeBooks View on Kobo View on B.Depository View on eBay View on Walmart

Virtually all large banks and other financial institutions in the UK and internationally are public limited liability companies whose shares are listed on one or several stock exchanges. As such, their corporate governance and, in particular, the incentives faced by their directors and senior managers are to a significant extent determined by corporate and securities law rules such as directors’ duties, directors’ liability in insolvency, takeover regulation, disclosure obligations, shareholder rights and rules on executive remuneration. At the same time, systemically important financial institutions in the UK are licensed, regulated and supervised by the Prudential Regulation Authority (PRA).

This book explores the relationship between, on the one hand, the broader corporate law, corporate governance and securities law framework and, on the other, the prudential regulatory framework. Although the book’s main focus is on UK law, much of the policy argumentation is relevant globally and therefore appropriate international comparisons are drawn, and analysis of EU law and regulation is included. The book argues that the corporate law regime, which focuses on shareholder empowerment and profit maximisation, operates as an antithesis to prudential regulatory objectives thus undermining the safety and soundness of banks and other financial institutions by encouraging risky behaviour that may be in the best interests of their shareholders, but is clearly not in the public interest.

More books from Taylor and Francis

Cover of the book Long-term Care for the Elderly in Europe by Andreas Kokkinis
Cover of the book The Year of Blood by Andreas Kokkinis
Cover of the book Religion and Social Reconstruction in Africa by Andreas Kokkinis
Cover of the book Peace Operations and Global Order by Andreas Kokkinis
Cover of the book Input, Interaction, and the Second Language Learner by Andreas Kokkinis
Cover of the book Handbook of Narrative Psychotherapy for Children, Adults, and Families by Andreas Kokkinis
Cover of the book Gender and Space in Rural Britain, 1840–1920 by Andreas Kokkinis
Cover of the book Hawthorne's Romances by Andreas Kokkinis
Cover of the book Theorising Social Exclusion by Andreas Kokkinis
Cover of the book Stalin's Ocean-going Fleet: Soviet by Andreas Kokkinis
Cover of the book Social Justice and the Arts by Andreas Kokkinis
Cover of the book The German Gita by Andreas Kokkinis
Cover of the book 60 Years Life/Adventure (2v Set) by Andreas Kokkinis
Cover of the book On the Edge: Political Cults Right and Left by Andreas Kokkinis
Cover of the book Questions on Wittgenstein (Routledge Revivals) by Andreas Kokkinis
We use our own "cookies" and third party cookies to improve services and to see statistical information. By using this website, you agree to our Privacy Policy