"The processes by which companies are directed and controlled are subject to rules and standards embedded in countries’ corporate governance frameworks and companies’ by-laws. These processes are intended to help companies avoid trouble, outperform their peers, and reduce the costs of capital by assuring shareholders and bondholders that they can obtain a fair return on their investment.2 If the rules are to fulfil these purposes, investors must rely on the adherence of a company’s officers and directors to the rules."
Web-link: http://www.wbginvestmentclimate.org/advisory-services/regulatory-simplification/...
Source: Investment Climate, World Bank
Language: English
Contact: Eric N. Runesson and Marie-Laurence Guy