Does Capital Adequacy Ratio Moderates the Relationship Between Ownership Structure and Performance?

This paper investigates the relationship of ownership structure, listed status and risk by using regression analysis based on the relevant data of Chinas commercial banks. Three main results emerge. First, compared to the state-owned banks, foreign-owned commercial banks exhibit better asset quality, lower credit risk and higher capital adequacy ratio; city commercial banks have lower credit risk and joint-stock commercial banks have lower credit risk and capital adequacy ratio. Second, listed status improves the asset quality and capital adequacy ratio. Finally, we also find that the listed status significantly moderates the relationship between ownership structure and risk. In conclusion, this study provides a theoretical reference for the reform of Chinas commercial banks.

Download Full-text

Analysis of Factors Affecting Financial Performance of BUKU 3 Banks with Growth of Third Party Funds as Moderating Variable

International Journal of Research and Review ◽

10.52403/ijrr.20211283 ◽

2021 ◽

Vol 8 (12) ◽

pp. 686-694

Author(s):

Rasmi Naibaho ◽

Azhar Maksum ◽

Rujiman .

Keyword(s):

Financial Performance ◽

Board Of Directors ◽

Capital Adequacy ◽

Third Party ◽

Operating Expense ◽

Factors Affecting ◽

Operating Income ◽

Net Interest Margin ◽

Capital Adequacy Ratio ◽

The Relationship

The purpose of this study was to determine and analyze the factors affecting financial performance of BUKU 3 banks with growth of third party funds as moderating variable. This study uses a causality research design. The population in this study is the Banking Service Industry Company which is all Banking Companies listed on the Indonesia Stock Exchange which consists of 46 Banks. The year of observation is 2010-2020. 12 Banking Companies that have met the requirements with 11 years of research in order to obtain 132 observations. In this research, the technical analysis used is panel data regression analysis technique. The results showed that capital adequacy ratio has no effect on financial performance. Operating expense to operating income has a negative effect on financial performance. Net interest margin has a positive effect on financial performance. Non performing loan has no effect on financial performance. Loan to funding ratio has no effect on financial performance. Minimum statutory reserve has no effect on financial performance. Female board of directors has no effect on financial performance. Third party funds cannot moderate the relationship between capital adequacy ratio and financial performance. Third party funds can moderate the relationship between operating expense to operating income on financial performance. Third party funds cannot moderate the relationship between net interest margin and financial performance. Third party funds cannot moderate the relationship between non performing loan and financial performance. Third party funds cannot moderate the relationship between loan to funding ratio and financial performance. Third party funds cannot moderate the relationship between minimum statutory reserve and financial performance. Third party funds can moderate the relationship between female board of directors and financial performance. Keywords: Financial Performance, Growth, Funds.

Download Full-text

Ownership Structure and Risk Taking of Malaysian Commercial Banks: The Moderating Effects of Capital Adequacy Ratio

Mediterranean Journal of Social Sciences ◽

10.5901/mjss.2015.v6n6s4p139 ◽

2015 ◽

Cited By ~ 1

Author(s):

Nasyra Ab. Jamil ◽

Rasidah Mohd. Said ◽

Fauzias Mat Nor

Keyword(s):

Ownership Structure ◽

Risk Taking ◽

Commercial Banks ◽

Capital Adequacy ◽

Moderating Effects ◽

Capital Adequacy Ratio

Download Full-text

Ownership structure and performance: A comparison of different corporate governance systems

Corporate Ownership and Control ◽

10.22495/cocv2i4p7 ◽

2005 ◽

Vol 2 (4) ◽

pp. 76-85 ◽

Cited By ~ 6

Author(s):

Alberto de Miguel Hidalgo ◽

Julio Pindado ◽

Chabela de la Torre

Keyword(s):

Corporate Governance ◽

Ownership Structure ◽

Ownership Concentration ◽

Institutional Factors ◽

Insider Ownership ◽

Market For Corporate Control ◽

Governance Systems ◽

The World ◽

And Performance ◽

The Relationship

This paper analyses how the main institutional factors characterizing corporate governance systems around the world affect the relationship between ownership structure and firm performance. Our analysis gives rise to the following remarks. First, ownership concentration and insider ownership levels are determined by several institutional features such as investor protection, development of capital markets, activity of the market for corporate control, and effectiveness of boards. Second, the relationship between ownership concentration and performance is not directly affected by these institutional factors. Third, there is, however, a direct influence of corporate governance characteristics on the relationship between insider ownership and performance.

Download Full-text

Ownership Structure and Financial Sustainability with Moderating Effect of Managerial Intention in Some Selected Emerging Economies. A Conceptual Review

Journal of Economics and Management Sciences ◽

10.30560/jems.v4n1p78 ◽

2021 ◽

Vol 4 (1) ◽

pp. p78

Author(s):

Maimako Livinus Nkuri ◽

Ahmed Razman Abdul Latiff ◽

Wan Fadzila Wan Yusoff

Keyword(s):

Literature Review ◽

Conceptual Model ◽

Ownership Structure ◽

Financial Sustainability ◽

Managerial Ownership ◽

Different Dimensions ◽

And Performance ◽

The Relationship ◽

Moderating Role

Purpose The purpose of this study is to explore a model to measure the money deposit bank financial sustainability based on ownership structure and to examine the moderating role of managerial intention on managerial ownership and foreign ownership. Design/ Methodology/ Approach An elaborate literature review was conducted to identify the variables and a proposed conceptual model was conceived. Findings A conceptual model was presented after the discussion of relationship and literature review that examined ownership structure, managerial intention and financial sustainability. Originality/Value Many scholars have investigated the different dimensions of ownership structure, managerial intention and performance, however little research has been done on the integration of ownership structure and financial sustainability. Furthermore, there is also a dearth in literature that examine the moderating role of managerial intention on the relationship between ownership structure and financial sustainability.

Download Full-text

The Factor Affecting to Profitability of Bank Mandiri (Persero) Tbk. Period 2011-2020

Jurnal Mandiri ◽

10.33753/mandiri.v5i2.179 ◽

2021 ◽

Vol 5 (2) ◽

pp. 86-98

Author(s):

Diana Riyana Harjayanti ◽

Ade Irma ◽

Ratna Tri Hari Safariningsih ◽

Fajar Gumilang Kosasih

Keyword(s):

Significant Influence ◽

Operating Cost ◽

Financial Statements ◽

Capital Adequacy ◽

Coefficient Of Determination ◽

Operational Cost ◽

Return On Assets ◽

Operating Income ◽

Capital Adequacy Ratio ◽

The Relationship

The purpose of this study is to determine factors Capital Adequacy Ratio, Non-Performing Loans and Operational Cost of Operating Income, Return On Assets as profitability at PT. Bank Mandiri (Persero) Tbk. with periode 2011-2020. The research method used in this study is descriptive quantitative. The population used is the financial statements of PT. Bank Mandiri (Persero) Tbk. The sample used is data that comes from the notes to the financial statements and income statements of PT. Bank Mandiri (Persero) Tbk. in the period 2011 to 2020. Based on the results of the partial test (t test) the results is Capital Adequacy Ratio and Non Performing Loan have not a significant influence on Return On Assets and Operational Cost of Operating Income has a significant influence on Return On Assets. But base on simultan (F test) shows that the Capital Adequacy Ratio, Non Performing Loan and Operational Cost of Operating Income have a significant influence on Return On Assets. In the coefficient of determination, the value of Adjusted R Square is 92.60%, Return On Assets can be explained by the Capital Adequacy Ratio, Non-Performing Loans and Operating Cost of Operating Income, which means that the relationship between variables has a strong correlation, while the remaining 7.4% can be explained by other variables.

Download Full-text

ANALISIS PENGARUH CAR, LOAN, GDP DAN INFLASI TERHADAP PROFITABILITAS BANK DI INDONESIA

Jurnal Akuntansi ◽

10.25170/jara.v10i2.42 ◽

2017 ◽

Vol 10 (2) ◽

pp. 116-126

Author(s):

Fangky A. Sorongan

Keyword(s):

Regression Analysis ◽

Gross Domestic Product ◽

Banking System ◽

Capital Adequacy ◽

Domestic Product ◽

Bank Profitability ◽

Independent Variables ◽

Capital Adequacy Ratio ◽

Negative Effect ◽

The Relationship

This study aims to examine the relationship between bank profitability and the factors that affect the level of profitability of the banking system in Indonesia. The population and samples used in this study are ten banks with the largest total assets in Indonesia such as BRI, Bank Mandiri, BCA, BNI, CIMB Niaga, BTN, Bank Panin, Bank Permata, Maybank and Bank Danamon, with observation year 2012 until by 2015. Dependent variable is profitability represented by return on asset (ROA), while four independent variables are CAR (capital adequacy ratio), LOAN, GDP (gross domestic product) and inflation. The result of regression analysis shows that CAR, LOAN, GDP have important contribution significantly to profitability (ROA) in bank in Indonesia, while the inflation variable has no significant and negative effect on profitability (ROA).

Download Full-text

The Relationship between the Ownership Structure, Capital Structure and Performance

JABM JOURNAL of ACCOUNTING - BUSINESS & MANAGEMENT ◽

10.31966/jabminternational.v1i25.326 ◽

2018 ◽

Vol 1 (25) ◽

pp. 1 ◽

Cited By ~ 1

Author(s):

Ali Al-Thuneibat

Keyword(s):

Capital Structure ◽

Ownership Structure ◽

Negative Impact ◽

Positive Impact ◽

Stock Exchange ◽

Return On Assets ◽

Service Companies ◽

Concentrated Ownership ◽

And Performance ◽

The Relationship

This paper aims at providing an empirical evidence concerning the relationship between the ownership structure, capital structure and financial performance of the shareholding companies listed in Amman Stock Exchange (ASE). To measure the ownership structure, the researcher used four variables including foreign, institutional, managerial and concentrated ownership. The capital structure is measured by using the leverage, and the performance is measured by using the return on assets (ROA). To achieve the objectives of the study, a sample of 86 firms from the industrial and service companies listed in ASE during the period 2010 and 2014 is used. The results of the study showed that the relationship between ownership structure in general, and performance is positive and statistically significant, however, the results showed that the various types of ownership structure have different types of relationships with performance. More specifically, there is a negative impact of institutional and foreign ownerships on the performance and positive impact of concentrated and managerial ownerships. The results also revealed that there is a positive impact of the financial leverage on the relationship between ownership structure and firm performance. The findings of the study provide implications to the regulators, investors and managers in Jordan to take into consideration the environment-specific factors when developing corporate regulations and encourage concentrated and managerial ownership because they have positive impact on performance.

Download Full-text

Pengaruh Loan To Deposit Ratio, Capital Adequacy Ratio, Dan Non Performing Loan Terhadap Profitabilitas Perbankan Yang Terdaftar Di Bursa Efek Indonesia (BEI)

Jurnal Ilmiah Manajemen Kesatuan ◽

10.37641/jimkes.v9i2.764 ◽

2021 ◽

Vol 9 (2) ◽

pp. 131-140

Author(s):

Fanesha Fanesha ◽

Nusa Muktiadji ◽

Ganjar Hendrian

Keyword(s):

Stock Exchange ◽

Hypothesis Test ◽

Secondary Data ◽

Capital Adequacy ◽

Coefficient Of Determination ◽

Return On Assets ◽

Independent Variables ◽

Capital Adequacy Ratio ◽

Independent Variable ◽

The Relationship

This study aims to determine how the influence of Loan to Deposit Ratio, Capital Adequacy Ratio and Non Performing Loans on Banking Profitability Listed on the Indonesia Stock Exchange (IDX) that occurs at PT Bank Central Asia Tbk, PT Bank Rakyat Indonesia (Persero) Tbk, PT Bank Mandiri (Persero) Tbk, PT Bank CIMB Niaga Tbk, PT Bank Negara Indonesia (Persero) Tbk, PT Bank Tabungan Negara (Persero) in 2014-2018. The data used in this study are quantitative data with secondary data sources derived from the financial statements of each bank. This research uses descriptive statistical analysis methods, inference analysis, classic assumption test, multiple linear analysis and coefficient of determination. Regression analysis is used to find out how the influence of independent variables on the dependent variable with a significance value of 5 percent. While the determination coefficient analysis is used to determine the relationship between the independent variable and the dependent variable. From the partial hypothesis test (T Test) that has been done by the author, it is obtained that the Loan to Deposit Ratio affects Return On Assets, Capital Adequacy Ratio has no effect on Return On Assets and Non Performing Loans has no effect on Return On Assets. For simultaneous hypothesis testing (Test F), the results obtained are that the independent variables namely Loan to Deposit Ratio, Capital Adequacy Ratio and Non Performing Loans simultaneously influence the Return on Assets. Key words : Loan to Deposit Ratio (LDR), Capital Adequacy Ratio (CAR), Non Performing Loan (NPL), Return On Asset (ROA).

Download Full-text

PENGARUH INTELLECTUAL CAPITAL STRUKTUR MODAL DAN TINGKAT INFLASI TERHADAP KINERJA KEUANGAN PERBANKAN SYARIAH DI INDONESIA

Media Ekonomi ◽

10.25105/me.v25i1.5201 ◽

2017 ◽

Vol 25 (1) ◽

pp. 25

Author(s):

Putri Indriani ◽

Nirdukita Ratnawati

Keyword(s):

Financial Performance ◽

Intellectual Capital ◽

Value Added ◽

Regression Method ◽

Capital Adequacy ◽

Islamic Banking ◽

Islamic Bank ◽

Capital Adequacy Ratio ◽

The Relationship

The purpose of this study was to analyze the relationship and the influence of Value Added Intellectual Capital (VAIC) and Structure of capital as measured by Capital Adequacy Ratio (CAR) and The Rate of Inflation on financial performance Islamic Banking. The method used in this study is the regression method panel. The data used in this study were taken from the nine Islamic Bank in Indonesia Indonesian period 2010-2015. Results of the study showed inflasi have positively to financial performance and CAR have negatively to financial performance. If seen from the results an VAIC on financial performance have the positively significant results at Islamic bank in Indonesia .

Download Full-text