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Chief executive officer attributes, stock's liquidity, and firm's performance

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  • Salman Riaz
  • Rizwan Ali
  • Saria Hussain
  • Ramiz ur Rehman

Abstract

This study unfolds the CEO attributes, stock liquidity, and firms' performance nexus, drawing from an individual's personality attributes who hold the highest managerial positions. The fixed‐effect panel regression method is employed using nonfinancial firms listed at Pakistan Stock Exchange from 2011 to 2020. Significantly, CEOs' age, tenure, and ownership are positively associated with stock liquidity and firms' performance. Additionally, stock liquidity partially mediates the said nexus. This study provides new insights which confirm the theoretical implications of upper echelons theory which means specific attributes of an individual i.e., CEO can cause better performance of a firm.

Suggested Citation

  • Salman Riaz & Rizwan Ali & Saria Hussain & Ramiz ur Rehman, 2023. "Chief executive officer attributes, stock's liquidity, and firm's performance," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 44(6), pages 3397-3408, September.
    • Handle: RePEc:wly:mgtdec:v:44:y:2023:i:6:p:3397-3408
    DOI: 10.1002/mde.3886
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