scholarly journals Incentive schemes and female leadership in financial firms

2013 ◽  
Vol 9 (1) ◽  
pp. 40-49 ◽  
Author(s):  
Björn Lantz ◽  
Petra Bredehorst-Carlsson ◽  
Johan Johansson
Keyword(s):  
Chief Executive Officer ◽  
Chief Executive ◽  
Female Leadership ◽  
Board Members ◽  
Incentive Scheme ◽  
Tobin’S Q ◽  
Return On Assets ◽  
Tobin's Q ◽  
Return On Equity ◽  
Financial Firms

Our purpose is to explore how performance in Swedish financial companies is affected by the presence of a female chief executive officer (CEO), the presence of an incentive scheme, and the proportion of female board members. The results indicate that a female CEO is associated with a lower return on equity (ROE) and a lower Tobin’s Q, but we find no significant association between the proportion of female board members and firm performance. An incentive scheme is generally associated with a lower return on assets (ROA) and a higher Tobin’s Q. In particular, a share-based incentive scheme is associated with a lower ROA, a lower ROE, and a higher Tobin’s Q.

scholarly journals A Study of A Causality Relationship between Profitability and Firm Value: A Comparison between European Countries

2017 ◽  
Vol 4 (1) ◽  
pp. 108
Author(s):  
Ben Said Hatem
Keyword(s):  
Firm Value ◽  
European Countries ◽  
Tobin’S Q ◽  
Return On Assets ◽  
Tobin's Q ◽  
Mean Values ◽  
Return On Equity ◽  
Market Values ◽  
Causality Relationship

The aim of our paper is to test for a causality interdependence between profitability and firm value. To this end, we examined a sample of two European countries: Italy and Poland. Our samples contain 200 firms from each country studied over a period of 4 years from 2007 to 2010. As a measure of firm performance, we use two ratios; return on assets and return on equity. Regarding firm value, we used two ratios; Tobin’s Q calculated as long-term debt increased by short-term debt divided by total assets, and Market To Book ratio calculated as market capitalization divided by shareholder’s equity. The descriptive statistics show that Italian firms have higher market values. We obtained mean values of 1,123 and 2,0698 of Tobin’s Q and MTB, respectively. However, firms of Poland are more profitable than firms of Italy. Using a data panel method, we concluded that for firms of Italy, there is a causality relationship between profitability, approximated by return on assets and return on equity and firm value, measured by Tobin’s Q. For firms of Poland, a causality relationship is also found.

The Impact of Firm Characteristics on Corporate Financial Performance in Emerging Markets

2020 ◽  
Vol 11 (4) ◽  
pp. 70-89
Author(s):  
Salah A. Ali ◽  
Mohamed Yassin ◽  
Rania AbuRaya
Keyword(s):  
Financial Performance ◽  
Audit Committee ◽  
Corporate Financial Performance ◽  
Tobin’S Q ◽  
Firm Characteristics ◽  
Return On Assets ◽  
Tobin's Q ◽  
Return On Equity ◽  
The Impact

This study investigates the impact of firm characteristics on the financial performance of companies listed on the Egyptian stock market. Regression model was performed to regress six firm characteristics variables, namely firm size, foreign listing, age, leverage, liquidity, and assets tangibility. The study controlled for five more variables related to corporate governance including board size, board independence, CEO role duality, audit committee, and the quality of external auditor to avert their effect on financial performance. The study used both accounting measures such as return on assets (ROA) and return on equity (ROE) and market-based Tobin's Q Ratio for measuring financial performance. The findings generally indicate that firm characteristics have an impact on both accounting financial performance as measured by ROA or ROE and market-based financial performance as measured by Tobin's Q, with little difference in the level of such impact. These findings revealed that firm characteristics affect corporate financial performance as evaluated by the company or the market.

scholarly journals Impact of Board of Directors on Performance of Brazilian Banks

2021 ◽  
Vol 12 (3) ◽  
pp. 42
Author(s):  
Rodolfo Fialho Perondi ◽  
Bento Alves da Costa Filho ◽  
Alcido Elenor Wander
Keyword(s):  
Board Of Directors ◽  
Financial Institutions ◽  
Chief Executive Officer ◽  
Performance Indicators ◽  
Boards Of Directors ◽  
Chief Executive ◽  
Securities And Exchange Commission ◽  
Independent Directors ◽  
Return On Assets ◽  
Return On Equity

The objective of this paper is to verify if the performance of Brazilian banks was impacted by the characteristics of their boards of directors in the period from 2010 to 2016. Performance indicators were defined as the Return on Assets (ROA) and Return on Equity (ROE) indicators, widely used in bank surveys. To accomplish the objective, a sample of twenty-nine financial institutions registered at the Securities and Exchange Commission (CVM) was selected. Results showed that the variables representing the influences exerted by the board include the number of directors and percentage of female members is significant to explain Return on Assets (ROA), while the variables average age of the directors, the percentage of independent directors, and segregation of the functions of chairman and chief executive officer, are significant in explaining Return on Equity (ROE).

scholarly journals PENGARUH GOOD CORPORATE GOVERNANCE TERHADAP KINERJA DAN NILAI PERUSAHAAN (STUDI PADA PERUSAHAAN YANG TERINDEKS OLEH CGPI

2016 ◽  
Vol 3 (1) ◽  
pp. 1-10
Author(s):  
EVA MARIA SULASTRI
Keyword(s):  
Corporate Governance ◽  
Tobin’S Q ◽  
Return On Assets ◽  
Tobin's Q ◽  
Return On Equity ◽  
Book Value ◽  
Good Corporate Governance

Penelitian ini bertujuan untuk menganalisis pengaruh good corporate governance terhadap kinerja perusahaan dan nilai perusahaan yang dapat dijadikan acuan manajemen dalam menggunakan tata kelola yang baik dan tepat sehingga dapat menguntungkan perusahaan secara keseluruhan. Populasi pada penelitian ini menggunakan seluruh perusahaan yang terdaftar di Bursa Efek Indonesia dengan sampel perusahaan yang masuk dalam indeks CGPI dengan jumlah sampel 91 perusahaan. Variabel yang digunakan pada penelitian ini yaitu good corporate governance yang diproksikan dengan CGPI, kinerja perusahaan yang menggunakan proksi Return On Assets (ROA) dan Return On Equity (ROE), sedangkan nilai perusahaan menggunakan TOBIN’S Q dan Market to Book Value (MBVR). Penelitian ini menggunakan alat analisis regresi linear yang berfungsi untuk mengetahui pengaruh antara good corporate governance, kinerja perusahaan dan nilai perusahaan. Hasil dari penelitian ini menunjukkan bahwa good corporate governance berpengaruh positif signifikan terhadap kinerja perusahaan, good corporate governance berpengaruh positif signifikan terhadap nilai perusahaan yang diproksikan dengan MBVR sedangkan jika diproksikan dengan TOBIN’S Q tidak berpengaruh, pengaruh kinerja perusahaan terhadap nilai perusahaan memberikan beberapa hasil, ROA berpengaruh positif signifikan terhadap TOBIN’S Q kemudian ROE tidak berpengaruh terhadap TOBIN’S Q dan ROA serta ROE tidak berpengaruh terhadap MBVR.   Kata Kunci: good corporate governance, return on assets, return on equity, TOBIN’S Q dan market to book value

scholarly journals Pengaruh Intellectual Capital Terhadap Kinerja Keuangan dan Nilai Perusahaan (Studi Kasus Perusahaan Sektor Keuangan yang Terdaftar di Bursa Efek Indonesia Tahun 2017-2019)

2021 ◽  
Vol 4 (2) ◽  
pp. 279-294
Author(s):  
Ikhram Hafiz Rahmadi ◽  
Ali Mutasowifin
Keyword(s):  
Intellectual Capital ◽  
Value Added ◽  
Partial Least Square ◽  
Least Square ◽  
Tobin’S Q ◽  
Return On Assets ◽  
Tobin's Q ◽  
Return On Equity ◽  
Book Value

Berlainan dengan asset tradisional yang berwujud, intellectual capital merupakan hidden value yang kurang memperoleh perhatian. Penelitian ini menguji pengaruh intellectual capital terhadap kinerja keuangan dan nilai perusahaan. Penelitian ini menggunakan metode value added intellectual coefficient (VAIC) sebagai indikator untuk menghitung nilai intellectual capital perusahaan. Kinerja keuangan diukur oleh empat indikator yaitu Return on Assets (ROA), Return on Equity (ROE), Debt to Assets (DAR) dan Debt to Equity (DER). Nilai Perusahaan diukur oleh indikator Earning per Share (EPS), Price to Earning  Ratio (PER), Price to Book Value Ratio (PBV), dan Tobin’s Q. Penelitian ini menggunakan alat analisis Partial Least Square (PLS) dengan memanfaatkan aplikasi SmartPLS versi 3.2.2. Sampel dalam penelitian ini adalah perusahaan sektor keuangan pada Bursa Efek Indonesia pada 2017-2019. Hasil penelitian menunjukan bahwa terdapat pengaruh positif dan signifikan antara Intellectual Capital terhadap Kinerja Keuangan dan Nilai perusahaan.

Is sustainability reporting (ESG) associated with performance? Evidence from the European banking sector

2019 ◽  
Vol 30 (1) ◽  
pp. 98-115 ◽  
Author(s):  
Amina Buallay
Keyword(s):  
Banking Sector ◽  
Positive Impact ◽  
Sustainability Reporting ◽  
Tobin’S Q ◽  
Return On Assets ◽  
Tobin's Q ◽  
Financial Return ◽  
Content Type ◽  
Return On Equity ◽  
The Relationship

Purpose Sustainability reporting has been widely adopted by firms worldwide given the need of stakeholders for more transparency on environmental, social and governance (ESG) issues. The purpose of this paper is to investigate the relationship between ESG and bank’s operational (Return on Assets), financial (Return on Equity) and market performance (Tobin’s Q). Design/methodology/approach This study examined 235 banks for ten years (2007-2016) to ends up with 2,350 observations. The independent variable is the ESG disclosure; the dependent variables are performance indicators (return on assets, return on equity and Tobin’s Q). Two type of control variables are utilized in this study: bank specific and macroeconomic. Findings The findings deduced from the empirical results demonstrate that there is significant positive impact of ESG on the performance. However, the relationship between ESG disclosures is vary if measured individually; the environmental disclosure found positively affect the ROA and TQ. Whereas, the corporate social responsibility disclosure is negatively affect the three models. However, the corporate governance disclosure found negatively affects the ROA, ROE and positively affects the Tobin’s Q. Originality/value The results of this study can be used to present a successful model for worldwide banks to concentrate on the role of ESG disclosure in performance.

scholarly journals The Analysis of Corporative Reporting Designed to Enhance Corporate Governance: Evidence from the Banking Sector in Croatia

2017 ◽  
Vol 20 (s1) ◽  
pp. 59-72
Author(s):  
Ivana Đunđek Kokotec ◽  
Marina Klačmer Čalopa ◽  
Kristina Detelj
Keyword(s):  
Corporate Governance ◽  
Banking Sector ◽  
Research Paper ◽  
Literature Analysis ◽  
Tobin’S Q ◽  
Financial Indicators ◽  
Return On Assets ◽  
Tobin's Q ◽  
Return On Equity ◽  
Corporate Reporting

Abstract The main objective of this research paper is to examine whether the practice of corporate governance (CG) measured by the CGI-Crobank® index is significant for the explanation of variations in the performance of Croatian banks measured by the return on assets, return on equity, interest margin, margin of non-interest income, operating expenses margin, and by Tobin’s Q for the observed period from 2011 to 2015. The research is made on Croatian banks that form the CGI-Crobank® index using the data and information from annual questionnaires of CG codex, primarily to ensure objectivity, standardization and comparability. The goal of the literature analysis was to show present findings in the areas of corporate reporting and its impact on CG. Results obtained in the research indicate that a well implemented practice of corporate governance measured by the CGI-Crobank® index have influence on the variations in the performance of Croatian banks measured by Tobin’s Q and financial indicators.

scholarly journals PENGARUH GOOD CORPORATE GOVERNANCE TERHADAP KINERJA DAN NILAI PERUSAHAAN (STUDI PADA PERUSAHAAN YANG TERINDEKS OLEH CGPI)

2017 ◽  
Vol 16 (1) ◽  
pp. 34
Author(s):  
Maria Eva Sulastri ◽  
Dian Hakip Nurdiansyah
Keyword(s):  
Corporate Governance ◽  
Tobin’S Q ◽  
Return On Assets ◽  
Tobin's Q ◽  
Return On Equity ◽  
Book Value ◽  
Good Corporate Governance

Penelitian ini bertujuan untuk menganalisis pengaruh good corporate governance terhadap kinerja perusahaan dan nilai perusahaan yang dapat dijadikan acuan manajemen dalam menggunakan tata kelola yang baik dan tepat sehingga dapat menguntungkan perusahaan secara keseluruhan.Populasi pada penelitian ini menggunakan seluruh perusahaan yang terdaftar di Bursa Efek Indonesia dengan sampel perusahaan yang masuk dalam indeks CGPI dengan jumlah sampel 91 perusahaan. Variabel yang digunakan pada penelitian ini yaitu good corporate governance yang diproksikan dengan CGPI, kinerja perusahaan yang menggunakan proksi Return On Assets (ROA) dan Return On Equity (ROE), sedangkan nilai perusahaan menggunakan TOBIN’S Q dan Market to Book Value (MBVR). Penelitian ini menggunakan alat analisis regresi linear yang berfungsi untuk mengetahui pengaruh antara good corporate governance, kinerja perusahaan dan nilai perusahaan.Hasil dari penelitian ini menunjukkan bahwa good corporate governance berpengaruh positif signifikan terhadap kinerja perusahaan, good corporate governance berpengaruh positif signifikan terhadap nilai perusahaan yang diproksikan dengan MBVR sedangkan jika diproksikan dengan TOBIN’S Q tidak berpengaruh, pengaruh kinerja perusahaan terhadap nilai perusahaan memberikan beberapa hasil, ROA berpengaruh positif signifikan terhadap TOBIN’S Q kemudian ROE tidak berpengaruh terhadap TOBIN’S Q dan ROA serta ROE tidak berpengaruh terhadap MBVR.

Environmental, Social, and Governance Disclosure and Financial Performance

2021 ◽  
pp. 244-253
Author(s):  
İsmail Çağrı Özcan
Keyword(s):  
Financial Performance ◽  
Small Body ◽  
Tobin’S Q ◽  
Return On Assets ◽  
Tobin's Q ◽  
Return On Equity ◽  
Rail Industry ◽  
Transport Industry ◽  
Major Criterion ◽  
Governance Disclosure

The environmental, social, and governance (ESG) disclosure performance of the companies is becoming a major criterion for significant stakeholders like shareholders, creditors, and customers. In line with the increasing interest in ESG activities, a growing respective literature emerges. Despite this evolving attraction, the ESG aspects of the transport industry in general, and the rail industry in particular remain relatively untouched except for a small body of research on airlines. This study aims at filling this gap by analyzing how the ESG disclosure performance of the rail companies affect their financial performance, which the authors measure by return on assets (ROA), return on equity (ROE), and Tobin's Q. Based on a sample of 35 rail companies from nine countries over the 2007-2017 period, the analyses show that ESG disclosure performance has a positive and statistically significant association with the ROA of the rail companies.

scholarly journals Effects of Corporate Governance on the Performance of Nepalese Firms

2016 ◽  
Vol 1 ◽  
Author(s):  
Prem Prasad Silwal
Keyword(s):  
Corporate Governance ◽  
Firm Performance ◽  
Audit Committee ◽  
Tobin’S Q ◽  
Return On Assets ◽  
Board Size ◽  
Tobin's Q ◽  
Return On Equity ◽  
Explanatory Variables ◽  
Major Factors

The paper examines the effect of corporate governance on the performance of Nepalese firms. Return on assets, return on equity and Tobin’s Q are the dependent variable for firm performance and firm size, leverage, board size, age of the firm, and audit committee are the explanatory variables. Data are collected from annual report of 18 non financial firms listed in NEPSE from 2010 to 2015.The multiple regression models were estimated to test the effect of explanatory variables on firm performance. The result reveals that corporate governance has significant impact on firms’ performance based on return on assets. Board size, and leverage have negative and significant effect on firm performance however age of the firm and audit committee have positive effect on firm performance based on return on equity. While regressing firm performance based on Tobin’s Q, board size and audit committee are the major factors in determining the firm performance.

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