IDEAS home Printed from https://ideas.repec.org/a/gam/jijfss/v10y2022i3p52-d860165.html

Corporate Governance and Performance of Pension Funds in Ghana: A Mixed-Method Study

Author

Listed:
  • Isaac Akomea-Frimpong

    (School of Engineering Design and Built Environment, Western Sydney University, Penrith, NSW 2751, Australia)

  • Emmanuel Senior Tenakwah

    (Asia Pacific College of Business and Law, Charles Darwin University, Darwin, NT 0800, Australia)

  • Emmanuel Junior Tenakwah

    (School of Business, Western Sydney University, Parramatta, NSW 2150, Australia)

  • Mary Amponsah

    (Newcastle Business School, The University of Newcastle, Newcastle, NSW 2300, Australia
    The Centre for African Research, Engagement and Partnerships (CARE-P), The University of Newcastle, Newcastle, NSW 2300, Australia)

Abstract

This paper assesses the relationship between corporate governance practices and the performance of pension funds in Ghana, which is an emerging market. Data for this study came from two sources: surveys of pension fund managers and annual financial reports of pension funds. Data analysis techniques include mean score ranking and panel regression. The results showed that corporate governance practices such as upholding the rights of shareholders to know the capital structure of the pension funds, equitable treatment of all shareholders, effective internal controls, and timely supervisory functions of audit committees influence the performance of pensions funds. In addition, ensuring proper board composition, the ethnic and gender diversity of board members affect the success of pension funds in the country. The study indicates that the current challenges facing pension funds in the country include poor investment decisions and market volatilities in the investment market. This study provides insight into the governance practices of pension funds. It is relevant for policies and corporate practices to be strengthened to enhance the performance of the firms.

Suggested Citation

  • Isaac Akomea-Frimpong & Emmanuel Senior Tenakwah & Emmanuel Junior Tenakwah & Mary Amponsah, 2022. "Corporate Governance and Performance of Pension Funds in Ghana: A Mixed-Method Study," IJFS, MDPI, vol. 10(3), pages 1-19, July.
    • Handle: RePEc:gam:jijfss:v:10:y:2022:i:3:p:52-:d:860165
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2227-7072/10/3/52/pdf
    Download Restriction: no
    File URL: https://www.mdpi.com/2227-7072/10/3/52/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Jensen, Michael C. & Meckling, William H., 2008. "Theory of the firm: managerial behavior, agency costs and ownership structure," RAE - Revista de Administração de Empresas, FGV-EAESP Escola de Administração de Empresas de São Paulo (Brazil), vol. 48(2), April.
    2. Claessens, Stijn & Yurtoglu, B. Burcin, 2013. "Corporate governance in emerging markets: A survey," Emerging Markets Review, Elsevier, vol. 15(C), pages 1-33.
    3. Diane K Denis, 2001. "Twenty‐five years of corporate governance research … and counting," Review of Financial Economics, John Wiley & Sons, vol. 10(3), pages 191-212.
    4. Arrow, Kenneth J, 1985. "Informational Structure of the Firm," American Economic Review, American Economic Association, vol. 75(2), pages 303-307, May.
    5. Fama, Eugene F, 1980. "Agency Problems and the Theory of the Firm," Journal of Political Economy, University of Chicago Press, vol. 88(2), pages 288-307, April.
    6. Grigoris Giannarakis, 2014. "Corporate governance and financial characteristic effects on the extent of corporate social responsibility disclosure," Social Responsibility Journal, Emerald Group Publishing Limited, vol. 10(4), pages 569-590, September.
    7. Denis, Diane K., 2001. "Twenty-five years of corporate governance research ... and counting," Review of Financial Economics, Elsevier, vol. 10(3), pages 191-212.
    8. David A. Carter & Betty J. Simkins & W. Gary Simpson, 2003. "Corporate Governance, Board Diversity, and Firm Value," The Financial Review, Eastern Finance Association, vol. 38(1), pages 33-53, February.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Esther Florence Akonor & Peter Agyekum Boateng & Adelaide Gyabea & Sheila Adei & Comfort Agyekum Boateng, 2024. "Board Evaluation and Organizational Performance," International Journal of Research and Innovation in Social Science, International Journal of Research and Innovation in Social Science (IJRISS), vol. 8(2), pages 162-174, February.
    2. EWURU, Ogechi. Samuel & NWOYE, Ugochukwu. John, 2024. "Effect of Corporate Governance Mechanisms on Financial Performance of Pension Fund Administrators in Nigeria 2014 To 2022," International Journal of Research and Scientific Innovation, International Journal of Research and Scientific Innovation (IJRSI), vol. 11(7), pages 829-839, July.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Sikarwar, Ekta, 2022. "Board attributes, hedging activities and exchange rate risk: Multi-country firm-level evidence," Economic Modelling, Elsevier, vol. 110(C).
    2. Filatotchev, Igor & Poulsen, Annette & Bell, R. Greg, 2019. "Corporate governance of a multinational enterprise: Firm, industry and institutional perspectives," Journal of Corporate Finance, Elsevier, vol. 57(C), pages 1-8.
    3. Li, Changhong & Li, Jialong & Liu, Mingzhi & Wang, Yuan & Wu, Zhenyu, 2017. "Anti-misconduct policies, corporate governance and capital market responses: International evidence," Journal of International Financial Markets, Institutions and Money, Elsevier, vol. 48(C), pages 47-60.
    4. Premepeh, kwadwo Boateng & Odartei-Mills, Eugene, 2015. "Corporate governance structure and shareholder wealth maximisation," MPRA Paper 68087, University Library of Munich, Germany.
    5. ATM Adnan & Nisar Ahmed, 2019. "The Transformation Of The Corporate Governance Model: A Literature Review," Copernican Journal of Finance & Accounting, Uniwersytet Mikolaja Kopernika, vol. 8(3), pages 7-47.
    6. Naeem Tabassum & Satwinder Singh, 2020. "Corporate Governance and Organisational Performance," Springer Books, Springer, number 978-3-030-48527-6, January.
    7. Paul McGuinness & Kevin Lam & João Vieito, 2015. "Gender and other major board characteristics in China: Explaining corporate dividend policy and governance," Asia Pacific Journal of Management, Springer, vol. 32(4), pages 989-1038, December.
    8. Farooq, Muhammad Umar & Gyapong, Ernest & Gull, Ammar Ali & Usman, Muhammad & Javed, Muzhar & Tawiah, Vincent, 2025. "Do women directors influence CEO performance-induced turnover in China?," Journal of Business Research, Elsevier, vol. 186(C).
    9. Khandelwal, Chandni & Kumar, Satish & Madhavan, Vinodh & Pandey, Nitesh, 2020. "Do board characteristics impact corporate risk disclosures? The Indian experience," Journal of Business Research, Elsevier, vol. 121(C), pages 103-111.
    10. Wilson Ezi Herbert & ThankGod C. Agwor, 2025. "Board Composition and Corporate Performance: X-raying the Nexus in Nigerian Banks," Global Business Review, International Management Institute, vol. 26(5), pages 1135-1166, October.
    11. Um‐E‐Roman Fayyaz & Raja Nabeel‐Ud‐Din Jalal & Michelina Venditti & Antonio Minguez‐Vera, 2023. "Diverse boards and firm performance: The role of environmental, social and governance disclosure," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 30(3), pages 1457-1472, May.
    12. Qurat Ul Ain & Xianghui Yuan & Hafiz Mustansar Javaid & Jinkai Zhao & Li Xiang, 2021. "Board Gender Diversity and Dividend Policy in Chinese Listed Firms," SAGE Open, , vol. 11(1), pages 21582440219, February.
    13. Dian Perwitasari & Doddy Setiawan & An Nurrahmawati & Isna Putri Rahmawati, 2022. "Firm Performance during COVID-19 Pandemic: Does Ownership Identity Matter? Evidence from Indonesia," JRFM, MDPI, vol. 15(10), pages 1-18, September.
    14. Niamh Brennan, 2010. "A review of corporate governance research : an Irish perspective," Open Access publications 10197/2962, Research Repository, University College Dublin.
    15. Wongsinhirun, Nopparat & Chatjuthamard, Pattanaporn & Jiraporn, Pornsit, 2023. "Corporate culture and board gender diversity: Evidence from textual analysis," International Review of Financial Analysis, Elsevier, vol. 86(C).
    16. Zulkufly Ramly & Sok-Gee Chan & Mohd Zulkhairi Mustapha & Noor Sharoja Sapiei, 2017. "Women on boards and bank efficiency in ASEAN-5: the moderating role of the independent directors," Review of Managerial Science, Springer, vol. 11(1), pages 225-250, January.
    17. Sheng-Hung Chen & Dariimaa Ganbat & Bai-Rui Hung, 2024. "Does firm’s ownership structure matter to the impact of female directors on corporate social responsibility? Evidence from Taiwan," International Journal of Research in Business and Social Science (2147-4478), Center for the Strategic Studies in Business and Finance, vol. 13(8), pages 01-13, November.
    18. Muhammad Farooq Shabbir & Hassan Danial Aslam & Elaine Yen Nee Oon & Aamir Amin, 2024. "Optimizing corporate governance: unraveling the interplay of board structure and firm efficiency," Cogent Economics & Finance, Taylor & Francis Journals, vol. 12(1), pages 2396034-239, December.
    19. Usman, Ojonugwa & Uwadiegwu, Ihedioha O. & Olorunmolu, Joseph O., 2015. "Debt Financing and Post-Privatization Performance of Firms: The Case of Nigerian Listed Firms," MPRA Paper 74921, University Library of Munich, Germany, revised Jul 2016.
    20. Alves, Paulo & Couto, Eduardo Barbosa & Francisco, Paulo Morais, 2015. "Board of directors’ composition and capital structure," Research in International Business and Finance, Elsevier, vol. 35(C), pages 1-32.

    More about this item

    Keywords

    ;
    ;
    ;
    ;
    ;

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jijfss:v:10:y:2022:i:3:p:52-:d:860165. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.