The Impact of State-owned Capital Participation on Stock Returns of Listed Family Firms

Abstract

 Against the background of China's mixed-ownership reform, reverse mixed reform featuring state-owned capital participation in private family firms has gradually become a critical path to optimize corporate governance and boost market performance. This paper takes China's A-share listed family firms from 2018 to 2022 as the research sample, and empirically examines the impact of state-owned capital participation on stock returns of listed family firms through descriptive statistics, correlation analysis, baseline regression and robustness test. The results show that state-owned capital participation significantly improves the stock returns of family firms, verifying the governance supervision effect and resource support effect of state-owned shareholders. After replacing the core variable measurement method and adopting the fixed effect model for robustness test, the conclusion remains stable. This study enriches the research on the economic consequences of reverse mixed reform and provides empirical evidence for family firms to optimize equity structure and enhance market value.