| dc.description.abstract | Corporate governance is the system by which companies are directed and controlled, and
it continues to gain prominence mostly triggered by the globalization of economies and
the financial and investment markets. In Kenya the need for corporate governance, as is
the case in many parts of the world, is becoming more pronounced as a way of
safeguarding various stakeholders’ interests. Corporate Governance is now generally
taken as an important ingredient for the economic health of companies and society
regardless of one’s position in the financial investment market.
The study collected primary and secondary data on the relationship between corporate
governance practices and financial performance of investment managers in Nairobi
Kenya. Primary data was obtained from questionnaires while secondary data was
collected from company financial performance records. A total of 15 investment
managers participated in the study.
The study findings showed that firms had chairperson of the board different from CEO.
This showed that the roles of the chair and the CEO were different. This is one of the
corporate practices that investment funds needs to ensure they are adhered to. The
separation of responsibilities allowed each part to work independently with less or no
interference. It was also established that the roles of chairperson and chief executive
offices were written down. It was established that insider shareholding and board size had
significant impact on financial performance of investment managers (p<0.05). | en_US |
