Israel Securities Authority chairman Zohar Goshen said today that there is no ideal ownership structure for companies. Goshen spoke at the International Organization of Securities Commissions (IOSCO) annual conference, being held for the first time in Tel Aviv.
Goshen said, "There is no optimal ownership structure. A decentralized structure is not better than a more centralized one, and vice versa."
Goshen said that each structure has advantages and disadvantages, and he reminded listeners that in Israel, too, there is a big disagreement whether ownership should be in a core controlling group or through decentralized ownership.
Goshen said the role of regulators is to guarantee that there will be minimum harm to public shareholders and to minority shareholders. Reality has proven, he said, that "we can't always rely on the market."
Published by Globes [online], Israel business news - www.globes-online.com - on June 11, 2009
© Copyright of Globes Publisher Itonut (1983) Ltd. 2009