Determinant Factors Of Directors’ Remuneration: A Study On Malaysia Equity Market

dc.contributor.authorChong, Hai Hsiong
dc.date.accessioned2019-05-28T23:56:13Z
dc.date.available2019-05-28T23:56:13Z
dc.date.issued2014-10
dc.description.abstractBursa Malaysia is one of the most important stock exchange centers in ASEAN. The success and attractiveness of a stock exchange market relies on the stock price performance listed on the stock exchange. To propel Malaysia to become a high income nation, talented executive directors with great leadership skill is one of the crucial factor. In Malaysia, studies of executives’ remuneration, firms’ attributes and performance are always the key focus. Some of the area which lack of attention is the characteristic of executive directors and also ownership characteristics of a firm. Another factor that received little attention is the dividend payout policy of the firm in relationship to the executive directors’ remuneration. The main objective of the study is to determine the relationship of determinants in term of characteristics of executive directors (age and education attainment), ownership characteristics (family firm), firms attribute (performance) and dividend payout policy with the executive directors’ remuneration. In this research, one hundred firms in seven sector listed on Bursa Malaysia main board are selected. The firms’ data is collected from year 2008 to 2012 which resulted in 500 firm-year observations. The analysis shows age of the executive directors affect the total pay receive where younger directors received lesser pay. The result is supported by the human capital theory where age will bring along the working experience which can allow the directors to do a better business decision. The firms’ performance measured by ROA and ROE shows a positive and significant effect to the salaries paid to the executive directors. This healthy practice of the firms’ in Malaysia shows that practices suggested by Malaysia Code of Corporate Governance 2012 is adopted to mitigate the agency problem.en_US
dc.identifier.urihttp://hdl.handle.net/123456789/8260
dc.language.isoenen_US
dc.publisherUniversiti Sains Malaysiaen_US
dc.subjectTo propel Malaysia to become a high income nationen_US
dc.subjectis one of the crucial factor. In Malaysiaen_US
dc.titleDeterminant Factors Of Directors’ Remuneration: A Study On Malaysia Equity Marketen_US
dc.typeThesisen_US
Files
License bundle
Now showing 1 - 1 of 1
Loading...
Thumbnail Image
Name:
license.txt
Size:
1.71 KB
Format:
Item-specific license agreed upon to submission
Description: