The Effect Of Managerial Ownership On Stock Performance Of Firms Listed At The Nairobi Securities Exchange
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Date
2016-10Author
Otieno, Beatrice A
Type
ThesisLanguage
enMetadata
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This research had the objective of determining the effect of managerial ownership on
stock performance for the companies listed at the NSE. Sixty five firms listed at the NSE
for the year ending December 2015 formed the population for this research and it was a
census. The use of secondary data was employed and data was obtained largely from the
NSE Handbook 2015-2016 together company websites and the CMA website. The
evaluation of managerial ownership’s effect on stock performance was done using
regression analysis. The coefficient of managerial ownership was found to be positive
which showed that there existed a relationship that is positive of managerial ownership
on the performance of stock. However the relationship was found to be insignificant since
the results revealed a p value that was low. This means that a low percentage change in
stock performance was explained by variation in managerial ownership. Shareholders
may thus consider share ownership plans as a mitigating effort towards dealing with
agency conflicts. Further studies are needed however because this is an area that has
limited empirical evidence locally. Also further studies may seek to study firms that have
women board members to see how the stock performance differs with those of firms that
have all men boards.
Publisher
University of Nairobi
Rights
Attribution-NonCommercial-NoDerivs 3.0 United StatesUsage Rights
http://creativecommons.org/licenses/by-nc-nd/3.0/us/Collections
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