Subjects
-Tags
-Abstract
Purpose: The main aim of the current research is to investigate the role of board of directors in explaining the behaviour of stock price crash risk in the Egyptian context over 2014-2018.
Design / methodology / approach: The sample employed in this paper consists of the companies included in EGX30 from 2014 to 2018. Following literature (see for example: Chen et.al 2001; Tarkovska, V., 2014; Kwon et.al 2019; Kothari et.al 2008), one measurement was used in this research to measure stock price crash risk which is “down-to-up volatility".
Findings: This research shows that board of directors' characteristics are not associated with stock price crash risk. However, some control variables are related to stock price crash risk. leverage has a significant negative association with stock price crash risk which means that increasing debt as a finance source increases the probability of stock price crash exposure at 90% significance level. Also, firm size has a significant negative impact on stock price crash risk at 99% significance level.
Originality/ value: This article is one of the first to investigate whether board of directors ‘characteristics contribute to explain stock price crash risk in the context of Egyptian economy.
DOI
10.21608/cfdj.2021.153766
Keywords
Corporate Governance, Board of Directors, stock price crash risk, CEO Duality, Board Independence, Board Size, ROA, Leverage, Firm Size
Authors
MiddleName
-Affiliation
قسم ادارة الاعمال -کليه التجارة - جامعة القاهرة
Email
sarah_sobhy@foc.cu.edu.eg
City
-Orcid
-Article Issue
العدد الثاني - الجزء الأول
Link
https://cfdj.journals.ekb.eg/article_153766.html
Detail API
https://cfdj.journals.ekb.eg/service?article_code=153766
Publication Title
المجلة العلمية للدراسات والبحوث المالية والتجارية
Publication Link
https://cfdj.journals.ekb.eg/
MainTitle
-