scholarly journals Board diversity, external governance, ownership structure and performance in Ethiopian microfinance institutions

2015 ◽  
Vol 12 (3) ◽  
pp. 190-200
Author(s):  
Letenah Ejigu Wale
Keyword(s):  
Ownership Structure ◽  
Good Effect ◽  
Board Members ◽  
Individual Investors ◽  
Microfinance Institutions ◽  
Board Diversity ◽  
Rating Agencies ◽  
Ownership Structures ◽  
External Governance ◽  
And Performance

This research investigated the effect of governance dimensions such as board diversity, external governance and ownership structures on the sustainability and outreach performance of Ethiopian MFIs. A panel data of 13 MFIs for 6 years (2003-2008) is used for the study. No study of such type is conducted in the past for the Ethiopian environment. The result indicates that more women on board of directors help in depth of outreach whereas board members with a financial skill and local businessmen reduce depth of outreach. Regulation has an opposite effect in that it reduces sustainability without curtailing depth of outreach. Rating of MFIs activity by rating agencies is found to have a good effect of increasing sustainability and at the same time cater for more women borrowers. On ownership structure it is found that MFIs dominantly owned by individual investors lends less to women and more profitable indicating the commercial orientation of their operation

scholarly journals International ownership and firm performance in Arab economies

2020 ◽  
Vol 17 (4, Special Issue) ◽  
pp. 308-318
Author(s):  
Stefan Lutz ◽  
Karim Hegazy ◽  
Ehab K. A. Mohamed ◽  
Mohamed A. K. Basuony
Keyword(s):  
Firm Performance ◽  
Ownership Structure ◽  
Business Environment ◽  
State Ownership ◽  
Mena Region ◽  
Cross Sectional ◽  
Ownership Structures ◽  
And Performance ◽  
The Impact ◽  
Better Than

This paper aims at filling existing research by examining the impact of corporate governance and ownership structure on firm performance using cross-sectional data from companies in the MENA region for the years 2009-2013. The results indicate that higher ownership concentration is associated with higher returns. Furthermore, firms with higher international ownership share tend to perform better than those with only local private and/or state ownership. The results suggest some prevalent features with respect to ownership and performance of firms in the MENA region. Due to the volatile social and business environment, these firms operate in, they may be particularly dependent on effective ownership structures and support which may be provided by international, institutional, and large shareholders.

scholarly journals Mixed Ownership Structures and Firm Performance in China Listed Firms

2017 ◽  
Vol 8 (4) ◽  
pp. 80
Author(s):  
Xiaolou Yang
Keyword(s):  
Firm Performance ◽  
Executive Compensation ◽  
Ownership Structure ◽  
Government Ownership ◽  
Executive Pay ◽  
Enterprise Reform ◽  
Listed Firms ◽  
Ownership Structures ◽  
Top Managers ◽  
And Performance

China has achieved impressive economic growth since market reforms. The design of appropriate compensation structures is imperative so as to incentivize top managers, but little research has been done to examine the top management compensation structure in China. This study investigates how listed firms in China relate executive compensation to their firm performance and how such relationships are influenced by firm ownership structure. The results provide evidence showing strong link between compensation and performance varies across firms with different ownership structure. Private ownership enhances the link between firm performance and top CEOs compensation, while government ownership weakens executive pay-performance relation and thus makes the firms less effective in solving the agency problem between shareholders and management. It suggests enterprise reform in China will need to be supplemented by change in ownership structure in order to ensure fully success by transforming its State Owned Enterprises (SOEs) to corporations in the direction of converting state shares to public shares.

scholarly journals Effects of IPO Offer Price Ranges on Initial Subscription, Initial Turnover and Ownership Structure—Evidence from Indian IPO Market

2020 ◽  
Vol 13 (11) ◽  
pp. 279
Author(s):  
Harsimran Sandhu ◽  
Kousik Guhathakurta
Keyword(s):  
Logistic Regression ◽  
Ownership Structure ◽  
Individual Investors ◽  
Ols Regression ◽  
Day Trading ◽  
Ownership Structures ◽  
Price Range ◽  
Trading Ratio ◽  
Public Offer

In this paper, we establish the significance and effects of initial public offer (IPO) offer price ranges on subscription, initial trading, and post-IPO ownership structures. The primary market in India provides a unique setting for estimating the effect of various initial public offer (IPO) price ranges and IPO issue factors on the initial demand for an IPO among investors, measured by full IPO subscription/oversubscription, initial turnover (liquidity), and the post-IPO listing ownership structure among investors (ownership). For the IPO pre-listing stage, this study uses firth logistic regression to estimate the effect of various IPO offer price ranges (low to high) and various IPO issue factors on the full subscription/oversubscription of an IPO in each investor category. For the post-IPO listing stage, the study uses OLS regression to estimate the effect of various IPO offer price ranges (low to high) and various IPO issue factors on the initial trading ratio (IPO listing day trading) and the ownership percentage between institutional and individual investors. We find that all investor categories show a lesser likelihood for full subscription or oversubscription of an IPO issue at the lowest range of IPO offer prices. At the post-listing stage, the results indicate a diverse IPO offer price range in which individuals and institutions maximize their respective ownership holdings after the IPO listing. The results further show that lower promoter holdings diffuse higher ownership among individual shareholders by targeting lower IPO offer prices, thus increasing control.

scholarly journals Board structure and performance in Ethiopian microfinance institutions

2015 ◽  
Vol 11 (1) ◽  
pp. 96-106
Author(s):  
Letenah Ejigu Wale
Keyword(s):  
Panel Data ◽  
Board Members ◽  
Board Independence ◽  
Board Structure ◽  
Microfinance Institutions ◽  
Board Size ◽  
The Past ◽  
Negative Effect ◽  
Visible Effect ◽  
And Performance

This research investigated the effect of one governance dimension, board structure on the sustainability and outreach performance of Ethiopian MFIs. A panel data of 13 MFIs for 6 years (2003-2008) is used for the study. No study of such type is conducted in the past for the Ethiopian environment. The results indicate an experienced manager, a larger board size and educated board members all help to increase sustainability with board education having the largest effect. Manager experience and board size also have a negative effect on depth of outreach (i.e. less lending to women). Board independence has no visible effect on either sustainability or outreach. Surprisingly, no governance variable explains breath of outreach.

scholarly journals GOVERNANCE AND PERFORMANCE OF MICROFINANCE INSTITUTIONS IN MEDITERRANEAN COUNTRIES

2009 ◽  
Vol 10 (1) ◽  
pp. 31-43 ◽  
Author(s):  
Ben Soltane Bassem
Keyword(s):  
Financial Performance ◽  
Microfinance Institutions ◽  
Governance Mechanisms ◽  
Board Size ◽  
Social Mission ◽  
Trade Offs ◽  
Mediterranean Countries ◽  
External Governance ◽  
Performance Based Compensation ◽  
And Performance

This paper examines empirically the relation between governance mechanisms and the performance of Euro‐Mediterranean microfinance institutions (MFIs) in terms of outreach and sustainability. Specifically, we found that performance‐based compensation of managers is not associated with better performance of MFIs. The results identify trade‐offs between MFIs outreach and sustainability depending on larger board size, and on higher proportion of unaffiliated directors. Moreover, the study shows that the more women there are on the board the better the performance, and reveals that external governance mechanisms help MFIs to achieve better financial performance. This study also allows us to distinguish other factors leading to better sustainability such as Regulation, and the use of individual lending methodology. However, the MFIs, active as NGOs, seem to be more consistent with their social mission than with their financial performance.

scholarly journals Differences in Disclosure of Integrated Reports at Energy and Non-Energy Companies

Energies ◽  
2021 ◽  
Vol 14 (5) ◽  
pp. 1253
Author(s):  
Maja Piesiewicz ◽  
Marlena Ciechan-Kujawa ◽  
Paweł Kufel
Keyword(s):  
Ownership Structure ◽  
Value Creation ◽  
Energy Sector ◽  
Financial Data ◽  
Integrated Reporting ◽  
Creation Process ◽  
And Performance ◽  
Energy Companies ◽  
The Impact ◽  
Value Creation Process

Integrated reports combine financial and non-financial data into a comprehensive report outlining the company’s value creation process. Our objective is to find the completeness of disclosures, which is a crucial aspect of an integrated report’s quality. This study contributes to the integrated reporting examination by identifying quantitative and qualitative gaps when applying Integrated Reporting standards, focusing on the energy sector. We conducted the study on 57 published integrated reports of listed companies in Poland. The content of each report was examined for 49 features divided into eight areas. We identify the strengths and weaknesses of current reporting performance and the impact of the company’s sector on reports’ quality. We noted that there are significant differences among the areas. The major problems concern implementing IIRC’s framework on the connections between the business model and the organization’s strategy, risks, opportunities, and performance. Our research also noted that the level of specific disclosures might be related to a company’s ownership structure. We investigated the significance of differences among companies from the energy and non-energy sectors using statistical methods. As a result of the study, we obtained that disclosures’ completeness depends on the operation sector. The companies in the energy sector publish higher-quality integrated reports than companies in the other sectors.

Sign in / Sign up

Export Citation Format

Share Document