This study investigates institutional distance as a factor of investors’ monitoring of corporate earnings attributes. We analyze the US cross-listing market to determine whether institutional monitoring depends on geographic or market proximity. We find that shareholdings of non-US institutions headquartered in the same country as the investee firm are significantly and positively related to earnings quality. However, we do not find such a monitoring role in the United States, or in institutions not incorporated in the investee firm's home country. Our findings support a geographic proximity advantage over market proximity, which is more pronounced when firms’ information opacity is more severe; the results are not altered by the choice of earnings attribute variables.

中文翻译：

---

地理位置或市场邻近性重要吗？机构投资者对美国交叉上市股票盈利属性监测的证据

本研究调查了制度距离作为投资者监控企业盈利属性的一个因素。我们分析美国交叉上市市场，以确定机构监管是否取决于地理或市场邻近性。我们发现，总部位于与被投资公司同一国家的非美国机构的持股与盈利质量呈显着正相关。然而，我们在美国或未在被投资公司母国注册成立的机构中没有发现这种监督作用。我们的研究结果支持地理邻近优势优于市场邻近优势，当公司信息不透明程度更高时，这种优势更加明显；结果不会因收益属性变量的选择而改变。