It is hard to evaluate a firm's R&D performance in a timely manner due to the uncertainties involved in the R&D process. By examining the U.S. listed firms with heavy patenting during 1987-1998, I find that the effects of a firm's insider trading patterns are significant in explaining the...

Monitoring by institutional investors can act as an important mechanism to promote firm innovation. By investigating Chinese listed firms' patenting between 2002 and 2011, we find that the presence of institutional investors enhances firm innovation. Consistent with the monitoring view, we...