Ownership Structure and Corporate Performance (Evidences from TSE Listed Companies)

The purpose of this paper is to analyze the effect of ownership structure on performance of listed companies in Tehran Stock Exchange (TSE). In this paper, ownership structure is considered as independent variable and TobinQ as a financial performance criterion of companies is considered as dependent variable. Data is gathered from 93 listed companies during 2004 to 2008. Data structure is panel and analysis has been done using Ordinary Least Squared (OLS) with fixed effect and Generalized Least Squared (GLS) with fixed effect. The results, using OLS show that, there is no relation between ownership structure and company’s performance, but using GLS, we have found negative linear relation between ownership percentage of shareholder with greater than 5 percent and company’s performance.