Abstract :
This study aimed to determine the effect of institutional ownership and Leverage on agency cost by focusing on manufacturing companies listed on the Indonesia Stock Exchange with a research period 2018 ? 2020. The data used were secondary data. The population in this study was manufacturing companies listed on the Indonesia Stock Exchange. The sampling technique used was purposive sampling method and obtained a total of 360 samples. Hypothesis testing was done by multiple regression analysis. The results of this study indicated that institusional ownership had a negative effect on agency cost and Leverage had a negative effect on agency cost.
Keywords: Institutional Ownership, Leverage, Agency Cost