Audit committee attributes, board attributes and market performance of listed deposit money banks in Nigeria
Open Access
- 29 December 2020
- journal article
- Published by LLC CPC Business Perspectives in Banks and Bank Systems
- Vol. 16 (1), 168-181
- https://doi.org/10.21511/bbs.16(1).2021.15
Abstract
This paper aims to discover the association between various audit committee and board attributes and the market performance of listed deposit money banks in Nigeria. The study intends to determine the influence of audit committee size, gender diversity, expertise, board size and board shareholding on market performance (measured by Tobin Q). Panel data was gathered from twelve (12) banks listed on the Nigerian Stock Exchange from 2013 to 2017. The study used fixed and random regression analysis. The results concluded that the association between audit committee size, board size and Tobin Q was negatively significant. There was a positively significant impact of audit committee gender diversity and audit committee expertise on Tobin Q. The study showed a positive but insignificant influence of board shareholding on market performance. The results imply that weakness in governance structures might lead to lower market performance. This study recommends that firms ensure that appointment criteria prioritize knowledge and competence, and regulatory bodies are also encouraged to track the compliance of listed firms with corporate governance regulations. AcknowledgmentThe authors would like to acknowledge Covenant University for its financial support during the course of this research paper.Keywords
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