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Underperformance by female CEOs: A more powerful test

Author

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  • Kolev, Gueorgui I.

Abstract

Female CEOs underperform their male counterparts in terms of shareholders’ returns by roughly 0.35% per month. This difference is significant, comparable to the in-sample value premium, somewhat smaller than the equity and momentum premia, and larger than the size premium.

Suggested Citation

  • Kolev, Gueorgui I., 2012. "Underperformance by female CEOs: A more powerful test," Economics Letters, Elsevier, vol. 117(2), pages 436-440.
  • Handle: RePEc:eee:ecolet:v:117:y:2012:i:2:p:436-440
    DOI: 10.1016/j.econlet.2012.06.028
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    References listed on IDEAS

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    8. Fama, Eugene F & French, Kenneth R, 1996. "Multifactor Explanations of Asset Pricing Anomalies," Journal of Finance, American Finance Association, vol. 51(1), pages 55-84, March.
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    Full references (including those not matched with items on IDEAS)

    Citations

    Blog mentions

    As found by EconAcademics.org, the blog aggregator for Economics research:
    1. The Unnatural Selection of Male Entrepreneurs
      by Tomas Chamorro-Premuzic in HBR Blog Network on 2014-03-05 22:00:52

    Citations

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    Cited by:

    1. Gueorgui I. Kolev, 2013. "Two gold return puzzles," Economics Bulletin, AccessEcon, vol. 33(3), pages 1762-1770.
    2. Chadwick, Ingrid C. & Dawson, Alexandra, 2018. "Women leaders and firm performance in family businesses: An examination of financial and nonfinancial outcomes," Journal of Family Business Strategy, Elsevier, vol. 9(4), pages 238-249.
    3. Romano, Joseph P. & Wolf, Michael, 2017. "Resurrecting weighted least squares," Journal of Econometrics, Elsevier, vol. 197(1), pages 1-19.
    4. Brown, Alasdair & Yang, Fuyu, 2015. "Does society underestimate women? Evidence from the performance of female jockeys in horse racing," Journal of Economic Behavior & Organization, Elsevier, vol. 111(C), pages 106-118.
    5. Matthias Raddant & Hiroshi Takahashi, 2020. "Network effects and the appointment of female board members in Japan," Papers 2007.03980, arXiv.org.
    6. Mohan, Nancy, 2014. "A review of the gender effect on pay, corporate performance and entry into top management," International Review of Economics & Finance, Elsevier, vol. 34(C), pages 41-51.
    7. Mehdi Nekhili & Héla Chakroun & Tawhid Chtioui, 2018. "Women’s Leadership and Firm Performance: Family Versus Nonfamily Firms," Journal of Business Ethics, Springer, vol. 153(2), pages 291-316, December.

    More about this item

    Keywords

    Female Chief Executive Officers’ underperformance; Linear factor models; Cluster sample econometric methods; Management style;

    JEL classification:

    • G1 - Financial Economics - - General Financial Markets
    • G3 - Financial Economics - - Corporate Finance and Governance

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