Nexus Between Financial Crises, Corporate Governance and Future Stock Price Crash Risk

2Citations
Citations of this article
38Readers
Mendeley users who have this article in their library.

This article is free to access.

Abstract

We aim to investigate the impact of corporate governance attributes on future stock price crash risk in stable and crisis periods. We used Dynamic Panel Generalized Method of Movements (DPGMM) and Principal Component Analysis (PCA) to generate the factors for the individual attribute to capture the accuracy of the results. Ownership concentration and board structure have a significant negative while audit quality has no association with the stock price crash risk. However, the financial crisis has a positive association with stock crash risk. Furthermore, the study provides a potential screening methodology for investors to mitigate future risk as to price crash risk for portfolios that cannot be dealt with diversification.

Cite

CITATION STYLE

APA

Zulfiqar, F., Sahar, N. U., Jalal, R. N. U. D., Akhtar, M., Fayyaz, U. E. R., & Venditti, M. (2022). Nexus Between Financial Crises, Corporate Governance and Future Stock Price Crash Risk. SAGE Open, 12(4). https://doi.org/10.1177/21582440221131205

Register to see more suggestions

Mendeley helps you to discover research relevant for your work.

Already have an account?

Save time finding and organizing research with Mendeley

Sign up for free