CEO Gender And Corporate Risk Behavior

The company's risk inquiry has always been the focus of the company's financial research field.From the perspective of the company's governance structure,the existing research mainly focuses on the influence of the manager's age,education background,economic and social status on the company's risk decision-making.In recent years,as more and more women participate in the management and decision-making of the company and even become the CEO of the company.The influence of gender differences on the company's decision-making process,and the resulting difference in corporate risk,has gradually become the focus of attention.one.After the women at the top of the enterprise ladder are in charge of the company,whether the decision is different from that of the male,and whether the gender of the CEO affects the company's risk-taking behavior has become an important topic worth studying.As a very important role in the corporate governance structure,the CEO's personal characteristics play a very important role in the company's decision-making process,and whether gender differences affect personal characteristics,affecting CEOs when making risk decisions involving corporate finance,investment,etc.It shows the different characteristics,which in turn affects the company's risk-taking behavior,which is the main content of this paper.This paper uses the data of China's Shanghai and Shenzhen A-share listed companies in 2003-2017 to conduct empirical research.Firstly,it reviews the influence of different personal characteristics of CEO on corporate risk decision-making,and the related domestic and international theoretical achievements of CEO's gender on personal characteristics.It lays a theoretical foundation for the study of the gender relationship between the CEO and the company,and clarifies the purpose and significance of the research.Secondly,based on the social rationality of bounded rationality,summarizes the influence mechanism and theoretical analysis between CEO gender and corporate risk commitment.Based on this,the research hypothesis of this paper is proposed.After that,according to the hypothesis,the sample data is screened,the model is established,and the statistical software of Stata is used to descriptive statistics and correlation analysis of the variables,and the CEO gender and company risk commitment are preliminarily determined.Inter-relationship,followed by multiple regression analysis,and using Propensity Score Matching,Variable Substitution,and Instrumental Variable,using three specially selected sample evidence to make the research hypothesis robust Sex test to explore CEO gender The relationship and impact degree with the company's risk-taking;finally,the conclusions are drawn based on empirical tests.In the process of empirical analysis,this paper uses the company's leverage ratio(Leverage)and the rate of return on assets(?(ROA))as the metrics of the company's financial risk and investment risk,and analyzes the risks of companies with different gender CEOs.To measure the relationship between CEOs of different genders and the level of corporate risk tolerance.Through empirical research,the results show that the volatility of corporate leverage and return on assets of female CEOs is lower than that of companies run by male CEOs.In other words,the financial risks or investment risks of companies managed by female CEOs,risk-taking The average level is significantly lower than that of the male CEO company,ie the female CEO has a lower preference for the company's risky behavior than the male CEO,and this result applies to multiple sample models that control the endogenous matching between the company and the CEO.By investigating the relationship between CEO gender and corporate risk-taking behavior,we demonstrate that companies run by female CEOs have a lower risk propensity when making financial decisions and investment choices than companies run by male CEOs.This research conclusion helps to understand the management problems of Chinese companies,and also has certain enlightenment for improving corporate governance structure.Specifically:First,we should adjust the corporate governance structure,introduce female executives,and improve the risk management system;According to the different risk-bearing characteristics of different industries,adjust the gender distribution of executives and even the gender of CEOs,so that they can achieve the effects of adapting to different requirements of corporate risk management.Third,according to the preference characteristics of female executives' decision-making,Women's executives are reasonably distributed in the corresponding positions where their decision-making preferences can create greater value for the company.Fourth,eliminate gender discrimination,provide a good competitive platform for female managers,equal opportunities for promotion,and build a management gender.A diverse workplace environment.