The corporate governance policy has been strongly influencing the corporate stock performance in securities markets in many countries. Institutional investors do consider the acceptance and performing quality of a corporate governance policy by a company in making their investment decisions.
Especially, public investors and administrative managers of a company do realize that the board directors policies and board directors managing efficiencies do strongly support the company''s fundamental value. Hence, this is creating tremendous academic and empirical research topics in the corporate governance subject.
The research study time length is starting from year 2011 Janyary to year 2015 December。The corporate governance policy variables are including the features of board directors structural system, and board directors organizational elements, beneficial programs, compensation benefits, the independence and performance of the board director operations, and the corporate financial and stock performance .
The purpose of this paper is examining the impacts of corporate governance policy variables in terms of the board directors performing governance policies and managing efficiencies in policies on the movements of the stock prices of this company. We are taking the samples of cross sectional firms from various industries in Taiwan as the study subject.
We applied the multiple regression models, and provided the basic statistical properties analysis, ADF unit root analysis, and correlation analysis. For receiving the reasonable experimental results, we examines the t value for regression coefficients, and investigated the R2, Adjusted R2, F value, DW, AIC, Schwarz, HQ, Log likelihood, for the regressions.
The output is not to dedicate the predictions of the stock performance in Taiwan, but it is for examining the relationship between the influencial power of corporate governance policies variables and a company ''s stock performance in Taiwan''s capital markets.
The finding result has concluded that the chairman of the board as general manager do show significant evidences in supporting the testing hypothesis. The ending conclusive remarks is indicating that chairman of the board as general manager should be considered as the critical and relevant elements in making the investment strategies and decisions by public investors in Taiwan