Research Article


DOI :10.26650/ibr.2020.49.0034   IUP :10.26650/ibr.2020.49.0034    Full Text (PDF)

To Be Rated or To Be Indexed: Corporate Governance Rating Experience in Borsa Istanbul

Burak PirgaipMehmet Berktay Akyüz

We aim at answering whether it is more noteworthy for investors to attain or sustain corporate governance goals by examining how the market reacts towards announcements regarding corporate governance ratings (CGR) and corporate governance index (XCORP) including the firms listed in Borsa Istanbul within the sample period of 2007-2018 using a standard event study methodology. We found that, although both announcements produce relatively weak signals, joint announcements made upon XCORP inclusions along with first ever CGR (attainment) have more significance when compared to single announcements of subsequent CGR (sustainment) in the pre-event period. However, we also determined that the impact of subsequent CGR announcements in the post-event period was more profound. Our results revealed that the market anticipates XCORP inclusions whereas subsequent CGR are unexpected. Besides, the weak support for signaling hypothesis was considered to result from the obscuring effects of current legislation and market practices.


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APA

Pirgaip, B., & Akyüz, M. (2020). To Be Rated or To Be Indexed: Corporate Governance Rating Experience in Borsa Istanbul. Istanbul Business Research, 49(2), 271-300. https://doi.org/10.26650/ibr.2020.49.0034


AMA

Pirgaip B, Akyüz M. To Be Rated or To Be Indexed: Corporate Governance Rating Experience in Borsa Istanbul. Istanbul Business Research. 2020;49(2):271-300. https://doi.org/10.26650/ibr.2020.49.0034


ABNT

Pirgaip, B.; Akyüz, M. To Be Rated or To Be Indexed: Corporate Governance Rating Experience in Borsa Istanbul. Istanbul Business Research, [Publisher Location], v. 49, n. 2, p. 271-300, 2020.


Chicago: Author-Date Style

Pirgaip, Burak, and Mehmet Berktay Akyüz. 2020. “To Be Rated or To Be Indexed: Corporate Governance Rating Experience in Borsa Istanbul.” Istanbul Business Research 49, no. 2: 271-300. https://doi.org/10.26650/ibr.2020.49.0034


Chicago: Humanities Style

Pirgaip, Burak, and Mehmet Berktay Akyüz. To Be Rated or To Be Indexed: Corporate Governance Rating Experience in Borsa Istanbul.” Istanbul Business Research 49, no. 2 (Apr. 2024): 271-300. https://doi.org/10.26650/ibr.2020.49.0034


Harvard: Australian Style

Pirgaip, B & Akyüz, M 2020, 'To Be Rated or To Be Indexed: Corporate Governance Rating Experience in Borsa Istanbul', Istanbul Business Research, vol. 49, no. 2, pp. 271-300, viewed 19 Apr. 2024, https://doi.org/10.26650/ibr.2020.49.0034


Harvard: Author-Date Style

Pirgaip, B. and Akyüz, M. (2020) ‘To Be Rated or To Be Indexed: Corporate Governance Rating Experience in Borsa Istanbul’, Istanbul Business Research, 49(2), pp. 271-300. https://doi.org/10.26650/ibr.2020.49.0034 (19 Apr. 2024).


MLA

Pirgaip, Burak, and Mehmet Berktay Akyüz. To Be Rated or To Be Indexed: Corporate Governance Rating Experience in Borsa Istanbul.” Istanbul Business Research, vol. 49, no. 2, 2020, pp. 271-300. [Database Container], https://doi.org/10.26650/ibr.2020.49.0034


Vancouver

Pirgaip B, Akyüz M. To Be Rated or To Be Indexed: Corporate Governance Rating Experience in Borsa Istanbul. Istanbul Business Research [Internet]. 19 Apr. 2024 [cited 19 Apr. 2024];49(2):271-300. Available from: https://doi.org/10.26650/ibr.2020.49.0034 doi: 10.26650/ibr.2020.49.0034


ISNAD

Pirgaip, Burak - Akyüz, Mehmet Berktay. To Be Rated or To Be Indexed: Corporate Governance Rating Experience in Borsa Istanbul”. Istanbul Business Research 49/2 (Apr. 2024): 271-300. https://doi.org/10.26650/ibr.2020.49.0034



TIMELINE


Submitted15.02.2020
First Revision17.08.2020
Last Revision24.08.2020
Accepted24.10.2020
Published Online30.10.2020

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