The change in board independence in the presence of firm risk and regulation

• Anh Tho To ^[1] ; Yoshihisa Suzuki ^[1]
  1. [1] Hiroshima University

     Hiroshima University

     Naka-ku, Japón

     
• Localización: Contaduría y administración, ISSN 0186-1042, ISSN-e 2448-8410, Vol. 64, Nº. Extra 4, 2019 (Ejemplar dedicado a: Especial Gobierno Corporativo)
• Idioma: inglés
• DOI: 10.22201/fca.24488410e.2020.2233
• Títulos paralelos:
  • El cambio en la independencia del consejo de administración ante el riesgo de la firma y la regulación
• Enlaces
  • Texto completo (pdf)
• Resumen
  • español

    El objetivo de este trabajo es explorar el impacto del riesgo de la firma sobre la independencia del consejo, típicamente la proporción de consejeros no ejecutivos. Nuestra muestra se basa en datos de panel de firmas registradas en la bolsa de valores vietnamita durante diez años (2007-2016). Al aplicar estimadores de un dinámico método de momentos generalizados (GMM), los resultados son sólidos para temas de endogeneidad y resaltan el impacto no lineal en forma de U del riesgo de la firma sobre la proporción de consejeros no ejecutivos. Además, debido a que la falta de transparencia de la información en las empresas vietnamitas causaba muchos riesgos a los inversionistas, el gobierno emitió la Circular 121/2012/TT-BTC de julio 26 de 2012 sobre gobierno corporativo aplicable a compañías públicas, la cual resaltaba los cambios en la estructura del consejo de las compañías que cotizan en bolsa. Bajo la presión de esta regulación, las compañías con alto riesgo incrementaron la proporción de consejeros no ejecutivos.

  • English

    The purpose of the paper is to explore the impact of firm risk on board independence, typically the proportion of nonexecutive directors. Our sample is based on a panel data of publicly listed firms on the Vietnamese stock market over ten years (2007-2016). By applying a dynamic generalized method of moments (GMM) estimators, the results are robust to endogeneity issues and highlight the U-shaped nonlinear impact of firm risk on the non-executive director ratio. Besides, because the lack of information transparency in Vietnamese enterprises caused many risks for investors, the government issued the Circular 121/2012/TT-BTC dated July 26, 2012 on corporate governance applicable to public companies, which enhanced changes in the board structure of listed companies. Under the pressure of this regulation, high-risk companies increased the proportion of non-executive directors.

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