The role of risk management effectiveness on the relationship between CEO characteristics and financial risk volatility

Subject Areas : Production Management

Seyed mehdi Miraeez ¹ , hadi movludian ² , seyed hesam vaghfi ³

1 - Masters, Department of Accounting, West Tehran Branch, Payame Noor University, Tehran, Iran
2 - Assistant Professor of Management, Department of Management,Economics and Accounting,Payame Noor University,Tehran,Iran
3 - Assistant Professor,Department of Management,Economics and Accounting,Payame Noor University,Tehran,Iran

Received: 2022-09-04 Accepted : 2023-04-30 Published : 2022-11-22

Keywords: risk management, stock exchange, Financial risk fluctuation, characteristics of CEO,

Abstract :

The main purpose of the current research is the effect of the effectiveness of risk management on the relationship between CEO characteristics and financial risk volatility. The current research is applied and from the methodological point of view, the correlation is causal type (post-event). The statistical population of the research is all the companies admitted to the Tehran Stock Exchange, and using the systematic elimination sampling method, 124 companies were selected as the research sample and were investigated in the 10-year period between 2010 and 2019. The tool for collecting information was various sources, including theories, written texts, and articles on websites, and the data were analyzed using Eviuse 10 software. The results of the research hypotheses test showed that the experience, ability and influence of the CEO alone cannot be an effective factor to influence financing decisions which is also crystallized in the financial risk and its fluctuations, and capable managers with influence and power along with a Comprehensive risk management can have an acceptable effect on financial risk