Motivated by a growing interest in the governance role of large shareholders with diversified equity portfolios, we examine the effect of diversified large shareholders on voluntary corporate disclosures. With substantial equity stakes, large shareholders generally have more access to private...

This paper examines whether common ownership – i.e., instances where investors simultaneously own significant stakes in competing firms – affects voluntary disclosure. We argue that common ownership (i) reduces proprietary cost concerns of disclosure, and (ii) incentivizes firms to...