Title: Capital management and economic performance: a detailed analysis of employee funds in Colombia (2002-2022)

Authors: José Andrés Bayona Soto; Genny Torcoroma Navarro Claro

Addresses: Faculty of Administrative and Economic Sciences, Francisco de Paula Santander University, Ocaña, Colombia ' Faculty of Administrative and Economic Sciences, Francisco de Paula Santander University, Ocaña, Colombia

Abstract: This study investigates the economic and financial dynamics of employee funds in Colombia, using Modigliani and Miller's capital structure theory. It focuses on the efficiency and profitability of these funds within the Colombian context. The methodology includes advanced quantitative analyses such as data mining and panel data regression. Findings reveal a significant concentration of assets and income in Bogotá, Antioquia, and Valle, accounting for 81.9% of assets and 80% of income. Despite regional disparities in economic development, the capital structure of these funds does not significantly impact their market valuation. The study highlights the need for further research on the practical application of financial theories in Colombia, considering regional specificities. The insights contribute to academic discourse and offer valuable implications for policymakers and practitioners aiming to optimise the financial management and operational efficiency of employee funds in Colombia.

Keywords: capital structure; Colombian employee; data mining; financial efficiency; Colombia.

DOI: 10.1504/EMJM.2024.141587

EuroMed Journal of Management, 2024 Vol.6 No.3, pp.201 - 216

Received: 31 Jan 2024
Accepted: 16 Mar 2024
Published online: 25 Sep 2024 *

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