THE EFFECT OF THE EXISTENCE OF CHIEF RISK OFFICER (CRO) ON BANK PERFORMANCE

Ayse Nur Gungor Bostan; Aslı Aybars

Makale detayları

THE EFFECT OF THE EXISTENCE OF CHIEF RISK OFFICER (CRO) ON BANK PERFORMANCE

Yazarlar:

Ayse Nur Gungor Bostan | Aslı Aybars

Yayıncı:

Marmara University

Ana Başlıklar:

Econometrics (Other)

Dergi:

Journal of Research in Economics Vol.8 Issue 1, pp.25-37

Belge Tipi:

Makale

Yayın Tarihi:

3/2024

Belge Dili:

İngilizce

Document ID (Org No.):

2001313667

pISSN:

2636-8307

Anahtar kelimeler:

Özet:

 Over the past few years, numerous studies have examined how top management affects financial performance. These studies highlight the significance of management teams characteristics and qualities as key factors influencing firms financial performance. This study focuses on the growing prevalence of Chief Risk Officers CROs in the banking industry. It aims to investigate the impact of CROs on the financial performance of banks in the North American Bank sample. The primary objective of this paper is to address the existing gap in the literature by exploring whether there are performance differences between banks that employ CROs and those that do not. The findings of this study provide evidence of a positive correlation between bank size and the presence of a Chief Risk Officer. However, no significant relationship was found between the existence of a CRO and stock return volatility or bank profitability. It was observed that banks with higher volatility levels tend to hire Chief Risk Officers as part of their management team. Consequently, the results suggest that riskier banks are more inclined to employ Chief Risk Officers compared to their safer counterparts.

 Over the past few years, numerous studies have examined how top management affects financial performance. These studies highlight the significance of management teams characteristics and qualities as key factors influencing firms financial performance. This study focuses on the growing prevalence of Chief Risk Officers CROs in the banking industry. It aims to investigate the impact of CROs on the financial performance of banks in the North American Bank sample. The primary objective of this paper is to address the existing gap in the literature by exploring whether there are performance differences between banks that employ CROs and those that do not. The findings of this study provide evidence of a positive correlation between bank size and the presence of a Chief Risk Officer. However, no significant relationship was found between the existence of a CRO and stock return volatility or bank profitability. It was observed that banks with higher volatility levels tend to hire Chief Risk Officers as part of their management team. Consequently, the results suggest that riskier banks are more inclined to employ Chief Risk Officers compared to their safer counterparts.

 Over the past few years, numerous studies have examined how top management affects financial performance. These studies highlight the significance of management teams characteristics and qualities as key factors influencing firms financial performance. This study focuses on the growing prevalence of Chief Risk Officers CROs in the banking industry. It aims to investigate the impact of CROs on the financial performance of banks in the North American Bank sample. The primary objective of this paper is to address the existing gap in the literature by exploring whether there are performance differences between banks that employ CROs and those that do not. The findings of this study provide evidence of a positive correlation between bank size and the presence of a Chief Risk Officer. However, no significant relationship was found between the existence of a CRO and stock return volatility or bank profitability. It was observed that banks with higher volatility levels tend to hire Chief Risk Officers as part of their management team. Consequently, the results suggest that riskier banks are more inclined to employ Chief Risk Officers compared to their safer counterparts.

 Over the past few years, numerous studies have examined how top management affects financial performance. These studies highlight the significance of management teams characteristics and qualities as key factors influencing firms financial performance. This study focuses on the growing prevalence of Chief Risk Officers CROs in the banking industry. It aims to investigate the impact of CROs on the financial performance of banks in the North American Bank sample. The primary objective of this paper is to address the existing gap in the literature by exploring whether there are performance differences between banks that employ CROs and those that do not. The findings of this study provide evidence of a positive correlation between bank size and the presence of a Chief Risk Officer. However, no significant relationship was found between the existence of a CRO and stock return volatility or bank profitability. It was observed that banks with higher volatility levels tend to hire Chief Risk Officers as part of their management team. Consequently, the results suggest that riskier banks are more inclined to employ Chief Risk Officers compared to their safer counterparts.

Makale detayları

THE EFFECT OF THE EXISTENCE OF CHIEF RISK OFFICER (CRO) ON BANK PERFORMANCE

Yazarlar:

Ayse Nur Gungor Bostan | Aslı Aybars

Yayıncı:

Marmara University

Ana Başlıklar:

Econometrics (Other)

Dergi:

Journal of Research in Economics Vol.8 Issue 1, pp.25-37

Belge Tipi:

Makale

Yayın Tarihi:

3/2024

Belge Dili:

İngilizce

Document ID (Org No.):

2001313667

pISSN:

2636-8307

Chief risk officer (CRO)

performance

bank.

Sayı

Makale detayları

THE EFFECT OF THE EXISTENCE OF CHIEF RISK OFFICER (CRO) ON BANK PERFORMANCE

Yazarlar: Ayse Nur Gungor Bostan | Aslı Aybars

Yayıncı: Marmara University

Ana Başlıklar: Econometrics (Other)

Dergi: Journal of Research in Economics Vol.8 Issue 1, pp.25-37

Belge Tipi: Makale

Yayın Tarihi: 3/2024

Belge Dili: İngilizce

Document ID (Org No.): 2001313667

pISSN: 2636-8307

Chief risk officer (CRO)

performance

bank.

Sayı

Yazarlar:

Ayse Nur Gungor Bostan | Aslı Aybars

Yayıncı:

Marmara University

Ana Başlıklar:

Econometrics (Other)

Dergi:

Journal of Research in Economics Vol.8 Issue 1, pp.25-37

Belge Tipi:

Makale

Yayın Tarihi:

3/2024

Belge Dili:

İngilizce

Document ID (Org No.):

2001313667

pISSN:

2636-8307