CEO capability as a predictor of excess stock returns - A study of Swedish listed firms
Sammanfattning: This paper aims to investigate whether the capability level of a CEO can be considered as a predictor of company stock performance. We use Dr. Elliot Jaques' definition of capability, defined as the ability to handle long-term and complex working tasks. By collecting data on 35 CEOs in Swedish listed firms and then performing robust OLS regressions we test CEO capability as a predictor of stock performance. Our main findings are that having a CEO of required level of capability has a positive impact on excess stock returns. Hence stock performance can to some extent be attributed to the CEO, and therefore attracting and retaining the right person for the role is one important success factor of firms.
HÄR KAN DU HÄMTA UPPSATSEN I FULLTEXT. (följ länken till nästa sida)