On the Equity and Debt Financing Investor Protection:Focusing on the Way of Investors Participating in Corporate Governance
The main purpose of equity and debt financing investors participating in the governance of the target com-pany is to protect the safety of investment funds and ensure the normal acquisition of investment returns.The stake-holder theory,the interest analysis theory of shareholders and creditors,and the interest analysis theory of company operators provide a theoretical basis for equity and debt financing investors to participate in the governance of the company.The path for investors to participate in corporate governance is divided into two aspects.One is that,through legal provisions or contractual agreements,investors can obtain certain corporate governance powers such as voting rights and personnel rights to protect their own interests during the operation of the company by exercising the corresponding rights.The other is that,under the premise that contractual loopholes are inevitable,investors can re-ly on the fiduciary obligations to make up for matters that have not been agreed upon or are not specified in the agreement,and legislators can improve the regulatory system of investor protection from the perspective of amending relevant statute law.
equity and debt financinginvestor protectioncorporate governancefiduciary duties