QuestionJuly 31, 2025

Good corporate governance promoted by pension fund activism can improve valuations. increase efficiency. reduce regulatory issues. enhance profitability.

Good corporate governance promoted by pension fund activism can improve valuations. increase efficiency. reduce regulatory issues. enhance profitability.
Good corporate governance promoted by pension fund activism can
improve valuations.
increase efficiency.
reduce regulatory issues.
enhance profitability.

Solution
4.4(244 votes)

Answer

Improve valuations, increase efficiency, reduce regulatory issues, enhance profitability. Explanation 1. Identify the effects of good corporate governance Good corporate governance typically leads to improved decision-making, transparency, and accountability within a company. 2. Analyze how pension fund activism influences governance Pension fund activism often pushes for better governance practices, aligning management actions with shareholder interests. 3. Determine outcomes of improved governance Improved governance can lead to higher valuations, increased efficiency, reduced regulatory issues, and enhanced profitability.

Explanation

1. Identify the effects of good corporate governance<br /> Good corporate governance typically leads to improved decision-making, transparency, and accountability within a company.<br /><br />2. Analyze how pension fund activism influences governance<br /> Pension fund activism often pushes for better governance practices, aligning management actions with shareholder interests.<br /><br />3. Determine outcomes of improved governance<br /> Improved governance can lead to higher valuations, increased efficiency, reduced regulatory issues, and enhanced profitability.
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