Last of the Tai-Pans: Improving the Sustainability of Long-Term Financial Flows by Improving Hong Kong's Corporate Governance
38 Business Law Review, Volume 38, Issue 3, pp. 89–100.
Asian Institute of International Financial Law Working Paper No. 16
75 Pages Posted: 7 Nov 2013 Last revised: 18 Feb 2018
Date Written: November 5, 2013
Abstract
Hong Kong leads the rank tables as an international financial centre. However, the data indicate that some parts of her corporate governance arrangements probably detract from – rather than contribute to – that leading position. In this brief, we show how excessive shareholding concentration, probably self-dealing, insufficient minority shareholder recourse to mechanisms aimed at protecting their investments, and Hong Kong’s close links with several “tax havens” probably weaken Hong Kong’s role as an international financial centre. We present 18 recommendations aimed at increasing the volume of international financial capital coming to the city by improving Hong Kong’s corporate governance.
Keywords: Hong Kong, corporate governance, family-control
JEL Classification: G34, M14
Suggested Citation: Suggested Citation