Sponsor Bias in Pension Fund Administrative Expenses: The Brazilian Experience
Journal Title: BAR: Brazilian Administration Review - Year 2018, Vol 15, Issue 1
Abstract
Previous literature has reported that pension funds sponsored by public organizations present greater administrative expenses when compared to similar pension funds sponsored by private organizations. We investigate this sponsor bias, hypothesizing that it may originate from the omission of relevant control variables, specifically variables for location of headquarters and the level of outsourced services. We test this hypothesis by linear regression in the cross-section of 164 Brazilian closed pension funds, using annual data from 2010 to 2014. We find that these control variables partly explain the sponsor bias, especially for medium-size pension funds, and when the sponsor is an organization related to a state or municipal government. We also hypothesize that political bias may increase administrative expenses of public sponsor pension funds, especially in election years. We test this hypothesis by panel regression using a fixed effects method and did not find statistically significant changes in administrative expenses in election years. Our findings do not support the hypothesis of political bias in administrative expenses of Brazilian closed pension funds. On the contrary, we present evidence that the sponsor bias may be driven by characteristics of the pension funds omitted in previous literature.
Authors and Affiliations
Cunha, Claudio Marcio Pereira da
Keywords
Related Articles
- EP ID EP40660
- DOI http://dx.doi.org/10.1590/1807-7692bar2018170072
- Views 239
- Downloads 0
Narratives and Sensemaking of an Organizationally-Based Environmental Disaster
This work investigates the narratives of corporations, public agencies, politicians, unions, lawyers, public attorneys and community in different public inquiries undertaken as a response to an organizationally-based e...
Relationships between Learning, Context and Competency: a Multilevel Study
This study aims to identify the predictor variables for three types of management competencies: financial business management, process management and socio-environmental management. It was hypothesized that attributes...
The Relationship between Manufacturing Integration and Performance from an Activity-Oriented Perspective
Manufacturing integration with other functional areas and suppliers is a key aspect for achieving sustainable competitive advantage. The objective of this study is to analyze manufacturing integration from an activity-b...
Responsible Leadership Research: A Bibliometric Review
Political, religious, sports and business leaders across the world have been under scrutiny regarding allegedly unethical behaviors. The current study analyzes the use of responsible leadership in management research. U...
Environmental Discourses in Organizations: the Case of a Brazilian Mobile Telecommunications Company
This paper examines the discourse configurations on the environmental theme in business organizations and its relevance to the understanding of the inclusion of ecological discourses in the discourses of organizational...