The current study focused on investigating the influence of management
ability on the investment opportunity and firm performance. The managerial
ability has a strategic impact on firm performance and value. Secondary data was employed.
The study takes 369 non-financial firms as a population of the study and 196 firms as sample
size selected randomly. The data was collected from 2008 to 2017. The managerial ability, cash
holdings and dividend payout have a significant effect on the firm performance (ROA).
Corporate governance has significant effects on the independent variables and ROA. The
findings suggested that managerial ability, cash holdings and dividend payout have significant
effects on firm investment opportunities (total Q). Corporate governance has positive and
significant effects among independent variables and total Q (TTQ). It has been recommended
that managers with superior abilities correlate themselves with a better investment opportunity.
1-Kamran Nawaz PhD Scholar, Department of Management Sciences, Iqra National University Peshawar, KP, Pakistan. 2-Farzand Ali Jan Professor/Vice Chancellor, Department of Management Sciences, Iqra National University Peshawar, KP, Pakistan.3-Syed Kashif Shah MS Scholar, Department of Management Sciences, Behria University Islamabad, Pakistan.