Corporate Governance of Financial Companies

The monography introduces the concept of corporate governance of financial intermediaries -- commercial banks, life insurance companies, pension entity. The main principle Principal-Agent is the base for Corporate governance of non-financial companies, named Corporate governance of first generation. It tackles the corporate governance of the financial companies from the point of Corporate governance of second generation due to the key role of supervisors. For this idea is introduced new method of analysis: SMART (Shareholders, Managers, Auditors, Regulators, Tools). The method constitutes homo corporaticus corporaticus. Corporate governance of financial companies is replaced by corporate supervision. The prudential supervision is positive for modern corporation and private property in financial sector.For Bulgaria corporate governance of financial companies is two-structured: from outside-inland, top-down. The international organizations by codes and regional communites by directives designed the national institutions.