dummy variable that equals 1 when there is no dominant shareholder at the 10% threshold or when the largest shareholder is a widely held corporation (Ben‐Amar, Francoeur, Hafsi, & Labelle, 2013)
 
 
SD is less favourable to institutional and family owned firms than to widely held firms. This implies that it is appropriate to insist on SD or fiduciary governance when mostly dealing with widely held firms as in the USA, but that SD appears to have a limited effect when shareholding is more concentrated (Ben‐Amar, Francoeur, Hafsi, & Labelle, 2013)