Abstract: Foreign shareholders have positive supervision impetus, which can produce good governance effect on listed companies. Taking the top 10 listed companies with foreign shareholders from the A-share main boards of China's Shanghai and Shenzhen stock exchanges from 2007 to 2018 as the samples, this paper empirically tests the impact of the exit threat of foreign shareholders on the stock price crash risks, and at the same time, it considers the regulatory effects of the institutional environment and the opening of high-speed rail. The findings show that the exit threat of foreign shareholders has a restraining effect on the stock price crash risk. The results of further study show that in the regions with better institutional environment, the exit threats of foreign shareholders have a stronger inhibiting effect on stock price crash risks. If the high-speed rail service is opened in the place where the listed company is located, the inhibiting effect of the exit threat of foreign shareholders is also stronger.

Key words: exit threat, stock price crash risk, foreign shareholders, institutional environment, high-speed rail opening to traffic