The Swedish Corporate Control Model: Convergence, Persistence or Decline?

Manuscript Type: Perspective Research Question/Issue: In the finance literature theoretical arguments have largely predicted a world-wide convergence towards the Anglo-American model of corporate control. Still, there are few signs that this convergence is underway. This paper explores the reasons for the persistence of the blockholder model by an in-depth examination of a single country –Sweden – where blockholding always has been strong and where it still predominates among public firms. In spite of the fact that we explore the effects of deregulation, globalization and regulatory reform on corporate governance in a single country, a further aim is to shed some light on the wider issue of the world-wide persistence of the blockholder model.