DO CORPORATE GOVERNANCE INDEX COMPANIES OUTPERFORM OTHERS ? : EVIDENCE FROM TURKEY
Evren Dilek Sengur

Abstract
The purpose of the paper is to analyse whether properly implementing corporate governance principles make difference in performance of companies. With this purpose two analysis were conducted. Initially, performance measures of companies at the first year in the Corporate Governance Index (t1) and the preceeding year (t0) were compared. Then, the difference between performance measures of Corporate Governance Index Companies and Istanbul Stock Exchange-ISE 50 companies was analysed. In this paper ROA is designated as an accounting based performance measure and Tobins Q is determined as market based performance measure of companies. Results of the analysis show that there is no significant difference in performance measures of Corporate Governance Index Comapnies and ISE 50 Companies. Likewise, the study revealed that there is no significant difference between performance measures of Corporate Governance Index Companies in the year of t0 and t1 (to = the preceding year of entrance to Corporate Governance Index, t1= the first year in Corporate Governance Index).

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