The Impact Of CEOs' Financial Knowledge on Unsystematic Risk, Considering The Moderating Effect of Managerial Ability

Iranian Journal of Accounting, Auditing and Finance

مقالات آماده انتشار، پذیرفته شده، انتشار آنلاین از تاریخ 17 فروردین 1401  

نوع مقاله: Review article

شناسه دیجیتال (DOI): 10.22067/ijaaf.2022.42034

نویسندگان

Bahram Ghanizadeh¹؛ Mohsen Dastgir ²؛ Afsaneh Soroushyar³

¹Department of Accounting, Isfahan (Khorasgan) Branch, Islamic Azad University, Isfahan, Iran.

²(Department of Accounting, Isfahan (Khorasgan) Branch, Islamic Azad University, Isfahan, Iran.

³Department of Accounting, Isfahan (Khorasgan) Branch, Islamic Azad University, Isfahan, Iran

چکیده

The emergence of the phenomenon of economic globalization, expansion of business activities and more complex financial, administrative and operational structures, the need for firms to have CEOs with capable financial and managerial knowledge, has multiplied more than in the past. Leading such companies will definitely require the presence of specialized human capital such as knowledge-based CEOs to be able to bring maximum productivity, efficiency and value creation to stakeholders through effective corporate governance, risk management, optimal use of organizational resources and increased profitability. The purpose of this study is to investigate the effect of CEO knowledge and management ability on non-systematic risk and also to investigate the effect of management ability on the relationship between CEO's financial knowledge and unsystematic risk. The statistical population of this study is the companies listed on the Tehran Stock Exchange and the statistical sample size includes 147 companies for the years 2011 to 2020 which have been selected by systematic elimination method.‌ To test the research hypotheses, combined data and multivariate regression using the generalized least squares method have been used. The results show that the financial knowledge of CEOs has a negative and significant effect on non-systematic risk. The effect of management ability on non-systematic risk is also negative and significant. Another result of the study indicates that the ability of management as a moderating variable does not have a positive and significant effect on the relationship between financial knowledge of CEOs and non-systematic risk.

کلیدواژه‌ها

Keywords: CEOs' Financial Knowledge؛ Unsystematic Risk؛ Managerial Ability