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Item Corporate Governance and Stock Liquidity: Evidence from Listed Companies in Sri Lanka(Department of Finance, University of Kelaniya., 2024) Weerasinghe, W. S.Purpose: This study aims to investigate the relationship between corporate governance and stock liquidity in listed companies in Sri Lanka. Design/Methodology/Approach: Corporate governance was evaluated using an index constructed of the board of directors, audit committee, remuneration committee, nomination committee, related party transaction review committee, frequency of meetings, and gender diversity. Stock liquidity was measured using the Amihud illiquidity ratio. A Quantitative research study was performed based on the data collected from 100 Sri Lankan listed companies excluding companies in the Banking, Finance, and Insurance sectors due to its inherent nature of being highly regulated. Findings: It was found that the mean (median) values of corporate governance of Sri Lanka are 0.706 (0.714) and the mean (median) values of stock illiquidity are 0.839 (0.379). The results of the correlation and regression analysis revealed that a weak association between corporate governance and stock liquidity relationship. Therefore, this study concludes that corporate governance has no significant impact on stock liquidity. Nonetheless, this study analyzed a limited sample of 100 companies, focusing primarily on board and its committee-related corporate governance attributes. Originality: This study provided new insights into relationship between corporate governance and stock liquidity which has a practical significance for managers, shareholders, investors, traders, financial analysts, and policy makers in Sri Lanka. It introduces a novel corporate governance index tailored specifically to Sri Lankan companies highlighting its potential improve the stock liquidity at both the company and market levels which will ultimately lead the country towards economic growth.Item Board Characteristics and Intellectual Capital Disclosures: Evidence from Sri Lanka(Department of Finance, University of Kelaniya., 2021) Chandraratne, K. A. D. P. M.; Pathirawasam, C.; Mohamed, M. S.Purpose: The purpose of this study is two-fold. First, to examine the state of intellectual capital disclosures. Second, to investigate the relationship between board characteristics and intellectual capital disclosures. Design: This study selected thirty non-financial listed companies with the highest market capitalization from the Colombo Stock Exchange in Sri Lanka. An intellectual capital disclosure index comprising 61 items was developed to understand the level of intellectual capital disclosure in the selected companies. Panel data analysis techniques were applied to test the proposed hypotheses. Findings: Results indicated that role duality and proportion of female directors have a significant and positive impact on intellectual capital disclosures. Firm leverage was found to have a significant and negative effect on intellectual capital disclosures. Insufficient empirical evidence between other corporate board characteristics and intellectual capital disclosure in Sri Lanka may be attributed to a non-mandatory corporate disclosure environment. Originality: This is among the few studies to examine the link between corporate governance and intellectual capital disclosures employing panel data in Sri Lanka. However, a discourse on the role of corporate governance and corporate disclosures is warranted in a small island developing economy with a fragile financial system like Sri Lanka. Future Research Directions – The study calls for more studies to investigate the relationship between corporate governance and intellectual capital disclosures in the case of Sri Lanka by employing data from different industries for longer periods.Item Corporate Governance Practices and Their Impacts on Corporate Risk: Evidence from Sri Lanka.(Faculty of Commerce and Management Studies, University of Kelaniya., 2020) Sameera T.K.G.The cost of failure of a single corporate has a fatal impact on the economy. In addition to the macro-economic conditions leading to corporate collapse, management is responsible for developing and implementing a sound system of risk management and internal control in order to avoid such collapses. As a result, discussions on governance and risk have reached an unprecedented level for academics and practitioners. Moreover, risk exposure and management are increasingly becoming the foremost functions of modern business enterprises. However research that integrates corporate governance and risk has been limited. This study examines therefore the impact of corporate governance practices on corporate risk of listed companies in the Colombo Stock Exchange in Sri Lanka. The Board structure, Board Independence and Board procedures were considered as independent variables, whereas, corporate risk as dependent variable. The corporate risk represented the financial, operational and market risks faced by the companies. Furthermore the study used data from a sample of 64 listed companies for 5 years from 2014 to 2018 and employ panel regression to uncover the relationship that exists between these variables. The independent sample t-tests was used to test whether there was a statistically significant difference exist between the corporate governance practices of distress and non-distress companies. The results show that the corporate governance practices of distress companies was significantly lower than that of non-distress companies. The findings of the regression results suggest that Board independence was significantly and negatively impact on corporate risk. However, Board structure and Board procedures have no significant impact on corporate risk. The study therefore, concludes that the increased representation of independent non-executive directors of the board contributed to the significant decrease of corporate risk.Item Determinants of Board Size and Its Composition: Evidence from Nigerian Manufacturing Sector(Faculty of Commerce and Management Studies, University of Kelaniya., 2020) Mustapha Y. I.; Nafiu A. I.; Abdul F. A.; Omolekan, O. J.This paper examines the determinants of corporate board size and its composition in Nigeria using listed manufacturing firms as study area. The objective of the paper is to determine the effect of firms’ characteristic on board size. The study collected secondary information from thirty listed manufacturing firms that met the requirement for selection as sample between 2006 and 2018 through Nigerian Stock Exchange’s Fact Books. Multiple regression analysis was used as analytical technique. Using panel data OLS pooled method of estimation, the paper found that firm size, profitability, and growth opportunities are strong determinants of board size. Similarly, the results indicated that CEO-duality and profitability were determinants of board composition in the study. It is recommended that appointment into corporate board should be based on proven demonstration of high level of expertise, merit and due consideration to firms’ characteristics instead of mundane factors that would not enhance shareholders’ wealth.