VC Syndication and the Earnings Management Behaviors of Invested Companies
DOI:
https://doi.org/10.58885/ijbe.v08i2.152.ytKeywords:
Venture Capital, Earnings Management, Syndication.Abstract
Using the sample data of China's Growth Enterprise Market (GEM) since 2009, in this paper, we empirically test the impacts of venture capital syndication on the earnings management behaviors of the invested companies. To be specific, we focused on the internal characteristics of venture capital syndications and then examined those attributes on earnings management behaviors of invested companies. Our research bridges the gap in literature by providing a systematic analysis in this field. It will also provide significant insights for policy makers in terms of the establishment of joint investment portfolios, the formulation of investment strategies for venture capital companies, and the cooperation between venture capital institutions and venture capital firms etc.
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