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https://doi.org/10.1080/1331677X.2019.1697720

Capital structure and performance in Latin American companies

Juan Gallegos Mardones orcid id orcid.org/0000-0003-0178-8381
Gonzalo Ruiz Cuneo


Puni tekst: engleski pdf 1.629 Kb

str. 2171-2188

preuzimanja: 1.595

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Sažetak

The purpose of this study is to explain the financial performance
of companies in Latin America through the lens of capital structure
and ownership structure. We perform a quantitative analysis
of companies in Brazil, Chile, Mexico, and Peru using a panel data
method. To avoid endogeneity problems, instrumental variables,
generalised method of moments models, and panels with random
effects are employed. The data cover the period 2000 to 2015.
We find a positive relationship between financial performance,
growth, and size of the company. However, there are mixed
results for short- and long-term financial leverage, as well as for
company liquidity. With respect to the ownership structure of
Chilean companies, a positive effect is observed for the first major
shareholder with financial performance. In general, our results are
in line with those of previous studies. However, the existence of
mixed results between companies and countries makes for an
interesting and novel conclusion.

Ključne riječi

Financial performance; capital structure; ownership structure; Latin America

Hrčak ID:

254590

URI

https://hrcak.srce.hr/254590

Datum izdavanja:

9.2.2021.

Posjeta: 2.057 *