investigate the role of corporate governance in moderator the relationship between free cash flow and over investment in non-bankrupt company is listed on the Tehran Stock Exchange

The aim of this study was to investigate the role of moderator in the relationship between corporate governance, free cash flow and over investment in non-bankrupt company is listed on the Tehran Stock Exchange. To achieve this goal, five hypothesis is defined. To test the hypothesis, a sample of non-bankrupt firms listed securities Tehran during the years 1389 to 1393 the number of 129 companies (645 years - the company) was selected. In order to analyze the data, linear regression models using ordinary least squares (OLS) is used in analytical software EViews 8. . The results indicated that institutional ownership on the relationship between free cash flow and over investment is significant and negative impact, but other components of corporate governance, including managerial ownership, board size, board composition and ownership is a major, significant impact on the relationship between free cash flow and no over investment.