The Effect of Institutional Ownership on the Relationship between Managerial Overconfidence and Firm Performance of Egyptian Listed Company: An Empirical study | ||||
| مجلة البØوث التجارية | ||||
| Article 26, Volume 47, Issue 1, January 2025, Page 42-70 PDF (807.83 K) | ||||
| Document Type: تجاریة کل ما یتعلق بالعلوم التجاریة | ||||
| DOI: 10.21608/zcom.2024.306720.1362 | ||||
 View on SCiNiTO | ||||
| Authors | ||||
Ù…Øمد التهامي  1; سيد سالم Ù…Øمد أبو سالم2; Ø£Øمد Ù…Øمد عبدالعزيز3
| ||||
| 1قسم المØاسبة كلية التجارة جامعة الزقازيق جمهورية مصر العربية | ||||
| 2قسم المØاسبة، کلية التجارة، جامعة الزقازيق، مصر | ||||
| 3قسم المØاسبة ØŒ كلية التجارة جامعة الزقازيق | ||||
| Abstract | ||||
| This study investigates the relationship between managerial overconfidence and firm performance in the existence of institutional ownership as a moderating variable. We argue that when the company has a high proportion of institutional ownership, it can lead to more control over managerial decisions and the feedback of the managers, which in turn can improve the performance of the company. There are numerous proxies for measuring managerial overconfidence, but the most appropriate one in the Egyptian environment is an investment-based measure through capital expenditure. A sample of 695 firm-year observations of non-financial firms listed on the Egyptian Stock Exchange from 2014 to 2022 is used. The results indicates that there is a positive and significance association between managerial overconfidence and firm performance in the existence of institutional ownership as a moderating variable and shows that institutional ownership can turn the relationship between managerial overconfidence and firm performance from negative to positive because it plays a controlling role within the company. | ||||
| Keywords | ||||
| Managerial overconfidence; Firm performance; Institutional ownership | ||||
|
Statistics Article View: 156 PDF Download: 74 |
||||
