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Board Determinants in Banking Industry. An International Perspective
Author(s) -
Andres Pablo,
RomeroMerino M. Elena,
Santamaría Marcos,
Vallelado Eleuterio
Publication year - 2012
Publication title -
managerial and decision economics
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.288
H-Index - 51
eISSN - 1099-1468
pISSN - 0143-6570
DOI - 10.1002/mde.2541
Subject(s) - perspective (graphical) , banking industry , corporate governance , harm , accounting , dual (grammatical number) , sample (material) , business , composition (language) , international banking , on board , financial system , law , finance , political science , engineering , art , linguistics , chemistry , philosophy , literature , chromatography , artificial intelligence , computer science , aerospace engineering
This paper explores the factors influencing the board composition of an international sample of commercial banks over the period 1996–2006. After considering the dual role of the board as monitor and advisor, our analysis shows that no one board composition is optimal for the banking industry and that any such recommendation could harm bank governance. Our results suggest that more complex banks that have a low ownership concentration and are headquartered in a civil law country should have larger and more independent boards. Copyright © 2012 John Wiley & Sons, Ltd.