Publication Type

Journal Article

Version

publishedVersion

Publication Date

10-2018

Abstract

This study examines investor reaction to the appointment of female directors in New Zealand-listed companies. Using the event study method, we ϐind that female directors tend to be appointed as independent directors rather than in a Chief Executive Ofϐicer (CEO) role. The results reveal that female board appointments are generally negatively associated with stock performance. This study captures both the gender diversity arising in New Zealand companies and the performance of stock price resulting from the reaction of investors to the different positions of female directors. The evidence of a decrease in market performance is shown by the negative cumulative average abnormal returns (CAARs) from the announcements of women appointees to the board.

Keywords

Stock returns, Women directors, New Zealand

Discipline

Business and Corporate Communications | Organizational Behavior and Theory

Publication

Journal of Administrative and Business Studies

Volume

4

Issue

5

First Page

247

Last Page

257

ISSN

2519-0407

Publisher

TAF Publishing

External URL

https://tafpublications.com/gip_content/paper/Jabs-4.5.3.pdf

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