Naslov (eng)

What drives the capital structure? The case of non-life insurance companies in Serbia

Autor

Božović, Miloš
Koprivica, Marija

Opis (eng)

Abstract: This paper studies the factors behind the capital structure of insurance companies. We used financial reports of non-life and composite insurance companies in Serbia between 2006 and 2019. In particular, we apply a panel-data approach to examine the relationship between leverage, defined as the ratio of technical reserves to capital and various firm-level characteristics. The coefficients estimated using the individual fixed-effects model indicate a significant and negative influence of profitability, growth and liquidity measures on leverage and a significant and positive influence of company size. The results indicate that the tradeoff theory and the pecking order theory are relevant in explaining the non-life insurer capital structure in Serbia.

Jezik

engleski

Datum

2021

Licenca

Ovo delo je licencirano pod uslovima licence
Creative Commons CC BY-SA 4.0 - Creative Commons Autorstvo - Deliti pod istim uslovima 4.0 International License.

http://creativecommons.org/licenses/by-sa/4.0/legalcode

Predmet

Keywords: non-life insurance; capital structure; leverage; tradeoff theory; pecking order theory

Deo kolekcije (1)

o:28218

Ekonomski fakultet