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Author: Wesley Mendes-Da-Silva
Publisher:
ISBN:
Category :
Languages : en
Pages : 30
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Book Description
The corporate governance has been reason of research in some areas of knowledge, amongst them, the Financial area, which has dedicated a considerate amount of papers published recently. In the national scope, the literature concerning the results which the corporate governance can bring for the financial performance of the companies, is relatively discrete. Taking for base the works developed for Bhagat amp; Black (1999 and 2002), this objective work to verify the existence of associations between the board composition and the financial performance shown by Brazilian companies. The research consisted of one multiple cross section which analyzed the subject from 1997 up to 2001, and were lead a set of data of 176 manufacturing companies of capital opened in actions negotiated in the Stock exchange of Sao Paulo. The analysis of data discloses that, for the studied period, it did not have an only of relationship, statistically significant standard, for all the explanatory variable (corporate governance) and the dependent variable (financial performance). However, it was verified that, for two of the five studied years, the independence of the administration advice (INDCO), as well as the independence of the chairman of the board of administration (INDPR) had also been positively associates to the financial performance and still that, the size of the administration advice showed, in one of the five years, an excellent amount of members (lnTAMC)2 in relation to the firm value (Tobin's Q index).Keywords: Corporate Governance, Board Composition, Financial Performance, Brazilians Companies.
Author: Wesley Mendes-Da-Silva
Publisher:
ISBN:
Category :
Languages : en
Pages : 30
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Book Description
The corporate governance has been reason of research in some areas of knowledge, amongst them, the Financial area, which has dedicated a considerate amount of papers published recently. In the national scope, the literature concerning the results which the corporate governance can bring for the financial performance of the companies, is relatively discrete. Taking for base the works developed for Bhagat amp; Black (1999 and 2002), this objective work to verify the existence of associations between the board composition and the financial performance shown by Brazilian companies. The research consisted of one multiple cross section which analyzed the subject from 1997 up to 2001, and were lead a set of data of 176 manufacturing companies of capital opened in actions negotiated in the Stock exchange of Sao Paulo. The analysis of data discloses that, for the studied period, it did not have an only of relationship, statistically significant standard, for all the explanatory variable (corporate governance) and the dependent variable (financial performance). However, it was verified that, for two of the five studied years, the independence of the administration advice (INDCO), as well as the independence of the chairman of the board of administration (INDPR) had also been positively associates to the financial performance and still that, the size of the administration advice showed, in one of the five years, an excellent amount of members (lnTAMC)2 in relation to the firm value (Tobin's Q index).Keywords: Corporate Governance, Board Composition, Financial Performance, Brazilians Companies.
Author: Krishna Dayal Pandey
Publisher: Taylor & Francis
ISBN: 100092498X
Category : Business & Economics
Languages : en
Pages : 150
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Book Description
This book provides empirical insights into the relationship between capital and equity-ownership structure of Indian manufacturing companies and their financial performance. It discusses and analyses the basic theories and concepts associated with capital structure, debt financing, levered and unlevered firms, the various forms of ownership, agency problem and its kind and the exploitation of minority owners by the large and largest owners. The study employs a set of the most reliable and suitable econometric estimation techniques to draw meaningful inferences on the Indian manufacturing sector. The novelty of this book lies in three particular aspects: the depth and dimension with which the topic is addressed; the robust empirical evidence that it has produced and the simple and intelligible approach with which it is authored. It communicates the crucial relevance of corporate capital structure and equity-ownership to the moderation of agency relationship and shaping the internal governance mechanism, which ultimately results in increased or decreased operational efficiency and financial performance. It will enable readers to understand whether an increased amount of debt capital would bring about positive results for firms or create an extra burden on the management of their finances, preventing them from taking productive investment decisions due to the threat of liquidation. The book will find an audience among advanced students, scholars and researchers who are interested in understanding the corporate finance practices and governance mechanism of Indian organizations.
Author: Alexandre Di Miceli da Silveira
Publisher:
ISBN:
Category :
Languages : en
Pages : 0
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Book Description
Related Party Transactions (RPTs) are operations with high potential for conflict of interests between shareholders and managers or between controlling and minority shareholders. In environments characterized by concentrated ownership structures, such as in Brazilian, such transactions could be used as a way for reaping private benefits of control by controlling shareholders. This paper undertakes this issue from both legal and empirical point of view. On the legal side, we survey the legal strategies currently employed in Brazil by regulators and self-regulatory bodies aiming at to avoid the problems from the inherently conflict of interests present in such dealings. On the empirical side, we analyze the RPTs reported by all Brazilian companies listed at Bovespa's corporate governance special listing segments in 2006. We also analyze the relation between the use of RPTs and proxies for corporate governance quality, as well as the relation between RPTs and firm market value. As the main qualitative result from our legal survey, we observe that Brazilian legal system makes use of two main legal strategies: definition of expected standards with ex-post analysis, and mandatory disclosure of relevant RPTs. From our quantitative analyses, three results stand out: RPTs are significant and frequent among Brazilian listed companies, there's a negative association between the use of RPTs and corporate governance quality, and there's a negative association between RPTs and firm market value. Overall, the empirical results provide evidence that RPTs are a signal for conflicts of interests taking place, rather than efficient business transactions.
Author: Pablo Rogers
Publisher:
ISBN:
Category :
Languages : en
Pages : 27
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Book Description
The literature indicates that, mainly in countries with high stock concentration, the ownership structure is an important internal mechanism of control of the corporate governance, with effects in the companies' value and performance. In Brazil, the existing relationship among corporate governance - ownership structure - performance is still not conclusive. The present study investigates if there is any relationship among ownership structure, financial performance and value in the Brazilian non-financial public companies with stocks negotiated in the Satilde;o Paulo Stock Exchange, between the period of 1997 to 2001, as well as the determinant of the level of concentration of the ownership in these companies. In the empiric investigation it was used a multiple regression analysis through the estimators of the Ordinary Least Squares with heteroscedasticity in accordance with White (1980). Concerning the used methodology, the results indicate that the variables of ownership structure as defined do not have influence on the financial performance and value of the companies. Remaining to the determinant of the ownership structure of the Brazilian non-financial public companies, the results indicate that the ownership structure can be explained by the size of the firm, market instability and regulation, being the latter the main determinant of the ownership structure.
Author: Naeem Tabassum
Publisher: Springer Nature
ISBN: 3030485277
Category : Business & Economics
Languages : en
Pages : 335
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Book Description
Establishing a corporate governance strategy that promotes the efficient use of organisational resources is instrumental in the economic growth of a country, as well as the successful management of firms. This book reviews existing literature and identifies board structural features as key variables of an effective corporate governance system, establishing a multi-theoretical model that links Board structural characteristics with firm performance. It then, using a comprehensive empirical study of 265 companies listed on the Karachi Stock exchange, tests this conceptual model. This research serves as a significant milestone, reflecting the socio-economic setting of emerging economies, and highlighting the need for the corporate sector in emerging markets to move away from a 'tick-box' culture. It argues that the sector needs to implement corporate governance as a tool to mitigate business risks; appoint and empower non-executive directors to achieve an effective monitoring of management; and establish their own ethical and governance principles, applicable to the Board of Directors. Based on an extensive data base, collected painstakingly over five years, this book offers new insights and conceptual framework for further research in this area. Given the breadth and width of the research, it is a useful source of future reference for students, researchers and policy makers.
Author: Ms.Izabela Karpowicz
Publisher: International Monetary Fund
ISBN: 1513537970
Category : Business & Economics
Languages : en
Pages : 30
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Book Description
Understanding the interplay between firms’ balance sheets and the macro-economic environment is important for understanding of the Brazilian economy. A close examination of developments in the nonfinancial corporate sector up to the early 2015 reveals weak equity growth, declining profitability, and rising leverage. The empirical work suggests that adverse shocks to financial variables lead to weaker real GDP growth in Brazil through their effect on corporate leverage, borrowing costs, and default frequencies. An estimation based on a DSGE model with financial frictions indicates that the recent economic downturn in Brazil is largely driven by a decrease in total factor productivity and by negative financial shocks.
Author: Ghulam Abid
Publisher:
ISBN:
Category :
Languages : en
Pages : 6
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Book Description
Board of directors has been recognized as an important element of the governance mechanism in a firm; particularly after the high profile catastrophes like Enron, Andersen, AOL, Parmalat, WorldCom and many more around the globe; that led to huge economic losses; and ultimately resulting in devastation of financial sectors around the globe. These losses have raised serious concerns regarding governance issues in the corporate sector; particularly questioning the capability of the boards in terms of securing stockholders' wealth. As a result, majority of the corporate governance reforms (codes, practices, regulations, recommendations, etc.) have directly linked corporate governance practices to increased functioning of the board members. This study aims at advancing the global corporate research agenda by collecting fresh evidence from Pakistan. We shall be studying listed companies working under the corporate governance regime in Pakistan; and will be looking at the association between board compositions and firms' performance. The aim of this study is to look at the impact of board composition on two performance measures (return on assets and return on equity) of the firm. Using linear regression on actual sample of 100 listed companies on the Lahore Stock Exchange, Pakistan, we have found that board composition (i.e. independent directors and chairman elected from non-executive director) and leadership structure (CEO duality) significantly related to the firm performance. Furthermore, we found that two accounting measures demonstrate different results.
Author: Chris A. Mallin
Publisher: Oxford University Press, USA
ISBN: 019928900X
Category : Business & Economics
Languages : en
Pages : 338
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Book Description
This textbook provides both undergraduate and postgraduate students with a thorough introduction to the field.
Author: Soner Gokten
Publisher: BoD – Books on Demand
ISBN: 9535137360
Category : Computers
Languages : en
Pages : 334
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Book Description
One of the main reasons to name this book as Financial Management from an Emerging Market Perspective is to show the main differences of financial theory and practice in emerging markets other than the developed ones. Our many years of learning, teaching, and consulting experience have taught us that the theory of finance differs in developed and emerging markets. It is a well-known fact that emerging markets do not always share the same financial management problems with the developed ones. This book intends to show these differences, which could be traced to several characteristics unique to emerging markets, and these unique characteristics could generate a different view of finance theory in a different manner. As a consequence, different financial decisions, arrangements, institutions, and practices may evolve in emerging markets over time. The purpose of this book is to provide practitioners and academicians with a working knowledge of the different financial management applications and their use in an emerging market setting. Six main topics regarding the financial management applications in emerging markets are covered, and the context of these topics are "Capital Structure," "Market Efficiency and Market Models," "Merger and Acquisitions and Corporate Governance," "Working Capital Management," "Financial Economics and Digital Currency," and "Real Estate and Health Finance."
Author: Cedric Van Appelghem
Publisher:
ISBN:
Category :
Languages : en
Pages : 27
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Book Description
The paper empirically investigates the association between friendly boards and corporate financing policy. A friendly board can be defined as a board on which some directors are socially tied to the CEO. In the paper, we consider that a director is socially tied to the CEO when he belongs to the same alumni networks as the CEO. We use a unique, hand-collected dataset. It is related to 78 French-listed firms belonging to the SBF 120 index between 2007 and 2011. Our results show that board friendliness toward the CEO increases firm's leverage. Further tests show that the initial relationship depends on ownership concentration. Taken together, our results suggest that it is necessary for researchers to have a contingent vision of the effects of board composition on corporate governance.
