Risk governance and firm value: exploring the hierarchical regression method
by Olayinka Erin; Foluso Aribaba
Afro-Asian J. of Finance and Accounting (AAJFA), Vol. 11, No. 1, 2021

Abstract: This study examines the impact of risk governance on firm value of 50 listed firms in the Nigerian financial institutions for the period of five years (2013-2017). The study provides empirical evidence which shows that risk governance variables (enterprise risk management index, chief risk officer presence, board risk committee size, board risk committee activism, and board risk committee independence) have a positive and significant impact on firm value. Similarly, firm attribute variables (firm size and firm age) have a significant positive impact on firm value while on the contrary corporate governance variables (board size and board of directors independence) show a negative but a significant impact on firm value. The empirical evidence observed in this study reveals that the institutionalisation of risk culture, strong risk oversight functions and increase in risk accountability by the board have greater tendency to enhance the value of a firm. This study contributes to the growing literature in the area of corporate reporting, risk governance and risk management research in Africa.

Online publication date: Tue, 15-Dec-2020

The full text of this article is only available to individual subscribers or to users at subscribing institutions.

 
Existing subscribers:
Go to Inderscience Online Journals to access the Full Text of this article.

Pay per view:
If you are not a subscriber and you just want to read the full contents of this article, buy online access here.

Complimentary Subscribers, Editors or Members of the Editorial Board of the Afro-Asian J. of Finance and Accounting (AAJFA):
Login with your Inderscience username and password:

Username:        Password:          Forgotten your password?

Want to subscribe?
A subscription gives you complete access to all articles in the current issue, as well as to all articles in the previous three years (where applicable). See our Orders page to subscribe.

If you still need assistance, please email subs@inderscience.com