Board Characteristics and Firm Performance: Evidence from Bursa Malaysia Ace Market

Corporate board is one of the most important corporate governance mechanisms that monitor and advise management in carrying responsibilities to protect shareholder interests. However, the relationship between board of directors and firm performance was still much debated. This study was carried out...

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Main Author:	Nabihah, Aminaddin
Format:	Thesis
Language:	eng eng
Published:	2013
Subjects:	HG Finance
Online Access:	https://etd.uum.edu.my/3583/1/s808868.pdf https://etd.uum.edu.my/3583/7/s808868.pdf
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id	my-uum-etd.3583
record_format	uketd_dc
institution	Universiti Utara Malaysia
collection	UUM ETD
language	eng eng
advisor	Ahmad, Norafifah
topic	HG Finance
spellingShingle	HG Finance Nabihah, Aminaddin Board Characteristics and Firm Performance: Evidence from Bursa Malaysia Ace Market
description	Corporate board is one of the most important corporate governance mechanisms that monitor and advise management in carrying responsibilities to protect shareholder interests. However, the relationship between board of directors and firm performance was still much debated. This study was carried out in order to seek the relationship between board characteristics and firm performance in companies listed on ACE Market at Bursa Malaysia. The data for a year; 2011 for 89 companies was collected from the annual report and the Data Stream. The dependent variables were Tobin’s q and return on assets (ROA) while the independent variables were board size, CEO ownership, independent directors, firm size, and firm age. The result of multiple regression model and correlation showed that board size has a negative relationship with Tobin’s Q but a positive relationship with the ROA. CEO ownership shows a negative relationship with Tobin’s Q and positive relationship with ROA. Director independence has negative relationships with both Tobin’s Q and ROA. Results for the firm size show a negative relationship with Tobin’s Q and a positive one with ROA while firm age indicate positive relationships for both Tobin’s Q and ROA. Of the independent variables, only firm size has a significant relationship with both Tobin’s Q and ROA while CEO ownership shows a significant relationship with ROA.
format	Thesis
qualification_name	masters
qualification_level	Master's degree
author	Nabihah, Aminaddin
author_facet	Nabihah, Aminaddin
author_sort	Nabihah, Aminaddin
title	Board Characteristics and Firm Performance: Evidence from Bursa Malaysia Ace Market
title_short	Board Characteristics and Firm Performance: Evidence from Bursa Malaysia Ace Market
title_full	Board Characteristics and Firm Performance: Evidence from Bursa Malaysia Ace Market
title_fullStr	Board Characteristics and Firm Performance: Evidence from Bursa Malaysia Ace Market
title_full_unstemmed	Board Characteristics and Firm Performance: Evidence from Bursa Malaysia Ace Market
title_sort	board characteristics and firm performance: evidence from bursa malaysia ace market
granting_institution	Universiti Utara Malaysia
granting_department	Othman Yeop Abdullah Graduate School of Business
publishDate	2013
url	https://etd.uum.edu.my/3583/1/s808868.pdf https://etd.uum.edu.my/3583/7/s808868.pdf
_version_	1747827606567256064
spelling	my-uum-etd.35832016-04-18T00:35:09Z Board Characteristics and Firm Performance: Evidence from Bursa Malaysia Ace Market 2013-01 Nabihah, Aminaddin Ahmad, Norafifah Othman Yeop Abdullah Graduate School of Business Othman Yeop Abdullah Graduate School of Business HG Finance Corporate board is one of the most important corporate governance mechanisms that monitor and advise management in carrying responsibilities to protect shareholder interests. However, the relationship between board of directors and firm performance was still much debated. This study was carried out in order to seek the relationship between board characteristics and firm performance in companies listed on ACE Market at Bursa Malaysia. The data for a year; 2011 for 89 companies was collected from the annual report and the Data Stream. The dependent variables were Tobin’s q and return on assets (ROA) while the independent variables were board size, CEO ownership, independent directors, firm size, and firm age. The result of multiple regression model and correlation showed that board size has a negative relationship with Tobin’s Q but a positive relationship with the ROA. CEO ownership shows a negative relationship with Tobin’s Q and positive relationship with ROA. Director independence has negative relationships with both Tobin’s Q and ROA. Results for the firm size show a negative relationship with Tobin’s Q and a positive one with ROA while firm age indicate positive relationships for both Tobin’s Q and ROA. Of the independent variables, only firm size has a significant relationship with both Tobin’s Q and ROA while CEO ownership shows a significant relationship with ROA. 2013-01 Thesis https://etd.uum.edu.my/3583/ https://etd.uum.edu.my/3583/1/s808868.pdf text eng validuser https://etd.uum.edu.my/3583/7/s808868.pdf text eng public masters masters Universiti Utara Malaysia Australia Securities Exchange (ASX). (2010). 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Board Characteristics and Firm Performance: Evidence from Bursa Malaysia Ace Market

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