This study examines the impact of the board of directors (BoD) characteristics, namely BoD independence, compensation, leadership, and CEO career concerns on investment efficiency, using information asymmetry as a mediator. Using a sample of 326 firm‐year observations of non‐financial firms listed in the EGX 100 Index of the Egyptian stock market from 2014 to 2018, we find that board independence, board compensation, and board leadership are negatively associated with inefficient investment and information asymmetry, whereas the opposite is true for CEO career concerns. Furthermore, a positive relationship between information asymmetry and inefficient investment is documented. Finally, we find that information asymmetry mediates the relationship between the three BoD characteristics (i.e., board independence, leadership, and compensation) and inefficient investment. Conversely, it does not interfere with the relationship between CEO career concerns and inefficient investment. These findings are consistent in both under‐investment and over‐investment scenarios and across the pooled sample. Our findings contribute to corporate governance and investment literature by addressing new relationships, providing empirical evidence from a one‐tier board model in developing countries, and offering a useful explanation for the inconsistent results in prior studies. These findings help regulators, investors, and policymakers realize the importance of BoD characteristics in mitigating information asymmetry and improving corporate investment efficiency.
This study aims to develop a strategic concept to increase people's knowledge and understanding of investing in Cash Waqf Linked Sukuk (CWLS), especially through formal and non-formal socialization.Methods-This research uses mixed methods, namely qualitative and quantitative methods, with a descriptive approach. The data used are primary data and secondary data. Data collection techniques were carried out by document tracing and observation.Quantitative data was obtained from the publication of the Indonesian Waqf Agency (BWI) regarding the sales of CWLS SWR 001 in 2020 amounting to Rp. 8,480,000,000,-and sales of SWR 002 in 2021 amounting to Rp. 24,141,000,000,-, there is an increase of 62%. However, the sales results of the CWLS SWR 002 are still very low compared to its potential. There are Rp. 76,946,459 million, -which have not been collected.The findings of this study are the level of knowledge and understanding of the Indonesian people about investing in CWLS is still low. This is due to very little socialization carried out by the Government, the Indonesian Waqf Board (BWI), BWI partner Islamic banks, and Nazir.Conclusions-1) It is necessary to include a sharia economics curriculum in religious education materials, and provide an adequate portion of lesson hours; 2) a professional, massive, and comprehensive promotion needs to be carried out; 3) Ulama and religious leaders need to increase the breadth of knowledge about sharia economics
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