Expert Forum: European Shareholder Group Actions—The Role of Economic Analysis


At this Cornerstone Research webinar, economists and academics discussed the importance of economic analysis in shareholder group actions, particularly in resolving potential issues of reliance, materiality, loss causation, and damages.

In 2019 and 2020, there have been a number of filings against listed UK companies under Section 90A of the Financial Services and Markets Act 2000. Shareholder group actions have also been filed in Germany, the Netherlands and Denmark. Do these events mark the start of a sustained increase in the number of high-stakes shareholder actions in the UK and Europe?

Against a backdrop of COVID-19-induced market turmoil, several factors indicate that European shareholder group actions may well be on the rise. In such cases, economic analysis will be indispensable in resolving issues of reliance, materiality, loss causation and damages that may arise.

Drawing on decades of collective experience addressing the economic and financial issues arising in such cases, this expert panel will:

  • Share insights on how various techniques from financial economics can be used in shareholder group actions
  • Discuss how the event study and other methodologies can be used to isolate the losses attributable to the alleged misrepresentations and omissions in a specific case
  • Explain how these methodologies are commonly misused, leading to damages estimates that are disconnected from the alleged disclosure breaches

The panel will also discuss how proprietary modelling tools can be utilised to generate estimates of potential exposure at the pre-action stage.


  • London

Ronnie Barnes

Vice President

  • Washington | London

Greg Leonard

Senior Vice President

  • Washington

Shaama Pandya

Vice President

Additional Speaker

Ian Marsh
Professor of Finance, Cass Business School