Title: The Chair-CEO chronological age gap and bank performance: the effects of financial crisis shock

Authors: Vu Quang Trinh; Ngan Duong Cao; Loc Thanh Phan; Mary Nanyondo

Addresses: Newcastle University Business School, Newcastle University, Frederick Douglass Centre, Newcastle Helix, 2 Science Square, Newcastle upon Tyne, NE4 5TG, UK ' University of Bath School of Management, Claverton Road, Bath, BA 2 7AY, UK ' Ho Chi Minh City, Vietnam ' Durham University Business School, Durham University, Mill Hill Lane, Durham DH1 3LB, UK

Abstract: This study investigates the effect of the Chair-CEO chronological age gap on the performance of commercial banks listed on the London Stock Exchange. We examine either the Chair-CEO generational gap (a minimum age gap of 20 years) or the Chair-CEO age difference (+ /- or absolute). We find significant evidence for the hypothesis that the Chair-CEO age dissimilarity is likely to increase bank performance. Additional identification attempts include the use of the 2007-2009 financial crisis as an exogenous shock to monitoring needs. We find that during the crisis, the positive linkage between age difference and bank performance was more intensified.

Keywords: chair; CEO; age dissimilarity; banks; board of directors; performance.

DOI: 10.1504/IJBGE.2022.123670

International Journal of Business Governance and Ethics, 2022 Vol.16 No.3, pp.263 - 291

Accepted: 09 Mar 2021
Published online: 30 Jun 2022 *

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