This study examines the impact of board governance on the relationship between Ownership Structure (OS) and Financial Leverage (FLEV) using Ordinary Least Square (OLS) models. Analyzing data from sixty non-financial companies listed on the Pakistan Stock Exchange (2014-2018), we find a negative association between manager shareholding and debt-equity structure. No significant associations are found between institutional shareholders, foreign investors, independent directors, and capital structure. The beta coefficient of board gender diversity is negatively correlated with financial leverage. Results vary across models, highlighting nuanced interactions. Our findings offer insights for policymakers, managers, and investors seeking to enhance the economic performance of Pakistani firms.
Keywords : Corporate Governance, Ownership Structure, Capital Structure, Non-financial Companies, PSX
Authored by :
(1) Fahad Hussain
PhD Scholar, Department of Business Administration, Ghazi University, Dera Ghazi Khan, KP, Pakistan.
(2) Muhammad Ziaullah
Associate Professor, Department of Business Administration, Ghazi University, Dera Ghazi Khan, KP, Pakistan.
(3) Asghar Hayyat
PhD Scholar, Department of Business Administration, Ghazi University, Dera Ghazi Khan, KP, Pakistan.
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