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Percentage of shares is considered to be one of the primary measures of ownership structure. Studies have been conducted on interrelationships among corporate ownership and board structure characteristics and on the determinants and mechanism by which the ownership structure is formed. Largely these studies only reflect on one or two governance characteristics with an exception by Agrawal and Knoeber (1996). The indecisive studies of ownership structure make it necessary to study the identity the determinants of ownership. Taking a proportional sample of companies from the four major industries, this study tries to find the factors affecting ownership pattern. Captivating ownership as director ownership, foreign ownership, institutional investors, Indian and foreign promoters, financial performance measured using Tobin's q and duality (chairman and managing director being single person) positively and significantly affect ownership. Nevertheless, financial leverage negatively impacts ownership.

Firms are defined by a set-up of associations that represent contractual provisions for financing, capital structure, managerial ownership and recompense. It has been observed from business history that these relationships have disagreements but virtually every party has alleged to the overall objective of good performance of the business. Previous studies have investigated the relationship among various parties within a firm and the impact on performance through agency theory as this theory leads to separation of ownership and control. But the results of previous studies are rather mixed due to disparity in measures of ownership and performance. This study looks for examining performance under different and detailed list of ownerships and composition of board. Using panel data an attempt was made to study the association between ownership pattern and firm performance for all the major industries listed on BSE 500 index.