Abstract:In recent years, Chinese enterprises have over-allocated financial assets in order to obtain excess returns, resulting in an increasing scale of financial investment and excessive financialization of enterprises. As a medium- and long-term incentive mechanism, executive incentives can weaken the conflict of interests between shareholders and executives,affect the level of excessive financialization of enterprises. Based on this, China's A-share listed companies from 2011 to 2021 are taken as a sample to study the path mechanism of executive incentives on the excessive financialization of enterprises and conducts an empirical investigation. Empirical evidence shows that executive incentives can significantly inhibit the excessive financialization of enterprises, and equity concentration weakens the above negative correlation, and the inhibitory effect of non-state-owned enterprises is more significant than that of state-owned enterprises.