Abstract

This article scrutinizes the influence of foreign ownership on corporate risk-taking for 461 listed companies in Vietnam between 2012 and 2016. A regression method is employed for assessing whether a threshold influences foreign ownership interests. The findings show that foreign investment promotes corporate risk-taking up to a certain point; once past this threshold, there is little significant influence on foreign investment. The findings imply that a minimum level of foreign ownership is needed in order to have a significant effect on corporate risk-taking in Vietnam.

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