International Journal of Business and Social Science

ISSN 2219-1933 (Print), 2219-6021 (Online) DOI: 10.30845/ijbss


The Effect of Ownership Structure on Share Price Volatility of Listed Companies in Tehran Stock Exchange: An Empirical Evidence of Iran
Mohammad Esmail Ezazi, Seyed Jalal Sadeghi, Mehrdad Alipour, Hossein Amjadi

The subject of corporate governance has played an important role in determining the fate of the company, and its observing or non-observing has a direct effect on the operation of the company. The purpose of this research is the analysis of the effects of different aspects of ownership structure (shareholders structure) like individual or institutional, internal or external, being focused or disseminated of the shareholders on the share price volatility of listed companies in TSE. In this research "Shareholders structure" is considered as the independent variable and "Share Price Volatility" as the dependant variable. The results of this research indicate the price of shares of the companies whose more percentage of shares are held by their greatest shareholders may have more volatility and the share price volatility of the companies that the more percentage of their shares is hold by individual shareholders is lower. It should be noted that the measure of ownership of five greater shareholders and institutional shareholders and members of the board of directors might not show any solution for investors interested in share price volatility.

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