The Impact of Board Gender and Multiple Directorship on Cash Holdings: Evidence from Jordan

Mohammad Yousef Alghadi; Ahmad Rizal Mazlan; Adilah Azhari

doi:doi:10.11648/j.ijfbr.20190504.12

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The Impact of Board Gender and Multiple Directorship on Cash Holdings: Evidence from Jordan

Mohammad Yousef Alghadi, Ahmad Rizal Mazlan, Adilah Azhari

Published in International Journal of Finance and Banking Research (Volume 5, Issue 4)

Received: 11 April 2019 Accepted: 14 June 2019 Published: 6 August 2019

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Abstract

This study examined the influence of corporate governance on company cash holding by explaining the relationship between board gender, multiple directorship and cash holding using a sample of 87 non-financial companies including industrial and service companies that listed on the Amman Stock Exchange from 2011 to 2017. By using Ordinary Last Square regression model (OLS). The findings indicate that board gender, multiple directorship positively influence cash holdings, supporting the agency theory. The findings of this study contribute to the formulation of better corporate governance policies that can help improve corporate cash holdings. This study has several empirical implications for policy makers in Jordan; it is important for policy makers to improve the role of the board of directors in monitoring the firm. One possible way of doing so is to encourage firms in Jordan to employ female that can provide better monitoring services and also firms can benefit from their experiences. In addition, these rules and regulations need to be activated by the policy makers to ensure that firms comply with their requirements. Moreover, developing countries are in need of providing better compliance with international governance standards. This can be done by adopting good governance practices, improving shareholder rights and activating laws and regulations that govern firms’ performance.

Published in	International Journal of Finance and Banking Research (Volume 5, Issue 4)
DOI	10.11648/j.ijfbr.20190504.12
Page(s)	71-75
Creative Commons	This is an Open Access article, distributed under the terms of the Creative Commons Attribution 4.0 International License (http://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution and reproduction in any medium or format, provided the original work is properly cited.
Copyright	Copyright © The Author(s), 2024. Published by Science Publishing Group

Keywords

Agency Cost, Corporate Governance, Cash Holdings, Board Gender, Multiple Directorship, Jordan Stock Market

References

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APA Style

Mohammad Yousef Alghadi, Ahmad Rizal Mazlan, Adilah Azhari. (2019). The Impact of Board Gender and Multiple Directorship on Cash Holdings: Evidence from Jordan. International Journal of Finance and Banking Research, 5(4), 71-75. https://doi.org/10.11648/j.ijfbr.20190504.12

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ACS Style

Mohammad Yousef Alghadi; Ahmad Rizal Mazlan; Adilah Azhari. The Impact of Board Gender and Multiple Directorship on Cash Holdings: Evidence from Jordan. Int. J. Finance Bank. Res. 2019, 5(4), 71-75. doi: 10.11648/j.ijfbr.20190504.12

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AMA Style

Mohammad Yousef Alghadi, Ahmad Rizal Mazlan, Adilah Azhari. The Impact of Board Gender and Multiple Directorship on Cash Holdings: Evidence from Jordan. Int J Finance Bank Res. 2019;5(4):71-75. doi: 10.11648/j.ijfbr.20190504.12

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@article{10.11648/j.ijfbr.20190504.12,
  author = {Mohammad Yousef Alghadi and Ahmad Rizal Mazlan and Adilah Azhari},
  title = {The Impact of Board Gender and Multiple Directorship on Cash Holdings: Evidence from Jordan},
  journal = {International Journal of Finance and Banking Research},
  volume = {5},
  number = {4},
  pages = {71-75},
  doi = {10.11648/j.ijfbr.20190504.12},
  url = {https://doi.org/10.11648/j.ijfbr.20190504.12},
  eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.ijfbr.20190504.12},
  abstract = {This study examined the influence of corporate governance on company cash holding by explaining the relationship between board gender, multiple directorship and cash holding using a sample of 87 non-financial companies including industrial and service companies that listed on the Amman Stock Exchange from 2011 to 2017. By using Ordinary Last Square regression model (OLS). The findings indicate that board gender, multiple directorship positively influence cash holdings, supporting the agency theory. The findings of this study contribute to the formulation of better corporate governance policies that can help improve corporate cash holdings. This study has several empirical implications for policy makers in Jordan; it is important for policy makers to improve the role of the board of directors in monitoring the firm. One possible way of doing so is to encourage firms in Jordan to employ female that can provide better monitoring services and also firms can benefit from their experiences. In addition, these rules and regulations need to be activated by the policy makers to ensure that firms comply with their requirements. Moreover, developing countries are in need of providing better compliance with international governance standards. This can be done by adopting good governance practices, improving shareholder rights and activating laws and regulations that govern firms’ performance.},
 year = {2019}
}

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TY  - JOUR
T1  - The Impact of Board Gender and Multiple Directorship on Cash Holdings: Evidence from Jordan
AU  - Mohammad Yousef Alghadi
AU  - Ahmad Rizal Mazlan
AU  - Adilah Azhari
Y1  - 2019/08/06
PY  - 2019
N1  - https://doi.org/10.11648/j.ijfbr.20190504.12
DO  - 10.11648/j.ijfbr.20190504.12
T2  - International Journal of Finance and Banking Research
JF  - International Journal of Finance and Banking Research
JO  - International Journal of Finance and Banking Research
SP  - 71
EP  - 75
PB  - Science Publishing Group
SN  - 2472-2278
UR  - https://doi.org/10.11648/j.ijfbr.20190504.12
AB  - This study examined the influence of corporate governance on company cash holding by explaining the relationship between board gender, multiple directorship and cash holding using a sample of 87 non-financial companies including industrial and service companies that listed on the Amman Stock Exchange from 2011 to 2017. By using Ordinary Last Square regression model (OLS). The findings indicate that board gender, multiple directorship positively influence cash holdings, supporting the agency theory. The findings of this study contribute to the formulation of better corporate governance policies that can help improve corporate cash holdings. This study has several empirical implications for policy makers in Jordan; it is important for policy makers to improve the role of the board of directors in monitoring the firm. One possible way of doing so is to encourage firms in Jordan to employ female that can provide better monitoring services and also firms can benefit from their experiences. In addition, these rules and regulations need to be activated by the policy makers to ensure that firms comply with their requirements. Moreover, developing countries are in need of providing better compliance with international governance standards. This can be done by adopting good governance practices, improving shareholder rights and activating laws and regulations that govern firms’ performance.
VL  - 5
IS  - 4
ER  -

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Author Information

Mohammad Yousef Alghadi

School of Economic Finance and Banking, University Utara Malaysia, Sintok, Malaysia
Ahmad Rizal Mazlan

School of Economic Finance and Banking, University Utara Malaysia, Sintok, Malaysia
Adilah Azhari

School of Economic Finance and Banking, University Utara Malaysia, Sintok, Malaysia

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Plain Text BibTeX RIS

APA Style

Mohammad Yousef Alghadi, Ahmad Rizal Mazlan, Adilah Azhari. (2019). The Impact of Board Gender and Multiple Directorship on Cash Holdings: Evidence from Jordan. International Journal of Finance and Banking Research, 5(4), 71-75. https://doi.org/10.11648/j.ijfbr.20190504.12

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ACS Style

Mohammad Yousef Alghadi; Ahmad Rizal Mazlan; Adilah Azhari. The Impact of Board Gender and Multiple Directorship on Cash Holdings: Evidence from Jordan. Int. J. Finance Bank. Res. 2019, 5(4), 71-75. doi: 10.11648/j.ijfbr.20190504.12

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AMA Style

Mohammad Yousef Alghadi, Ahmad Rizal Mazlan, Adilah Azhari. The Impact of Board Gender and Multiple Directorship on Cash Holdings: Evidence from Jordan. Int J Finance Bank Res. 2019;5(4):71-75. doi: 10.11648/j.ijfbr.20190504.12

Copy | Download

@article{10.11648/j.ijfbr.20190504.12,
  author = {Mohammad Yousef Alghadi and Ahmad Rizal Mazlan and Adilah Azhari},
  title = {The Impact of Board Gender and Multiple Directorship on Cash Holdings: Evidence from Jordan},
  journal = {International Journal of Finance and Banking Research},
  volume = {5},
  number = {4},
  pages = {71-75},
  doi = {10.11648/j.ijfbr.20190504.12},
  url = {https://doi.org/10.11648/j.ijfbr.20190504.12},
  eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.ijfbr.20190504.12},
  abstract = {This study examined the influence of corporate governance on company cash holding by explaining the relationship between board gender, multiple directorship and cash holding using a sample of 87 non-financial companies including industrial and service companies that listed on the Amman Stock Exchange from 2011 to 2017. By using Ordinary Last Square regression model (OLS). The findings indicate that board gender, multiple directorship positively influence cash holdings, supporting the agency theory. The findings of this study contribute to the formulation of better corporate governance policies that can help improve corporate cash holdings. This study has several empirical implications for policy makers in Jordan; it is important for policy makers to improve the role of the board of directors in monitoring the firm. One possible way of doing so is to encourage firms in Jordan to employ female that can provide better monitoring services and also firms can benefit from their experiences. In addition, these rules and regulations need to be activated by the policy makers to ensure that firms comply with their requirements. Moreover, developing countries are in need of providing better compliance with international governance standards. This can be done by adopting good governance practices, improving shareholder rights and activating laws and regulations that govern firms’ performance.},
 year = {2019}
}

Copy | Download

TY  - JOUR
T1  - The Impact of Board Gender and Multiple Directorship on Cash Holdings: Evidence from Jordan
AU  - Mohammad Yousef Alghadi
AU  - Ahmad Rizal Mazlan
AU  - Adilah Azhari
Y1  - 2019/08/06
PY  - 2019
N1  - https://doi.org/10.11648/j.ijfbr.20190504.12
DO  - 10.11648/j.ijfbr.20190504.12
T2  - International Journal of Finance and Banking Research
JF  - International Journal of Finance and Banking Research
JO  - International Journal of Finance and Banking Research
SP  - 71
EP  - 75
PB  - Science Publishing Group
SN  - 2472-2278
UR  - https://doi.org/10.11648/j.ijfbr.20190504.12
AB  - This study examined the influence of corporate governance on company cash holding by explaining the relationship between board gender, multiple directorship and cash holding using a sample of 87 non-financial companies including industrial and service companies that listed on the Amman Stock Exchange from 2011 to 2017. By using Ordinary Last Square regression model (OLS). The findings indicate that board gender, multiple directorship positively influence cash holdings, supporting the agency theory. The findings of this study contribute to the formulation of better corporate governance policies that can help improve corporate cash holdings. This study has several empirical implications for policy makers in Jordan; it is important for policy makers to improve the role of the board of directors in monitoring the firm. One possible way of doing so is to encourage firms in Jordan to employ female that can provide better monitoring services and also firms can benefit from their experiences. In addition, these rules and regulations need to be activated by the policy makers to ensure that firms comply with their requirements. Moreover, developing countries are in need of providing better compliance with international governance standards. This can be done by adopting good governance practices, improving shareholder rights and activating laws and regulations that govern firms’ performance.
VL  - 5
IS  - 4
ER  -

Copy | Download