Asian Journal of Research in Banking and Finance
  • Year: 2015
  • Volume: 5
  • Issue: 8

The Effect of Corporate Governance on Methods of Financing and Profitability in the Tehran Stock Exchange

Department of Management, Payame Noor University, Tehran, Iran

Online published on 6 August, 2015.

Abstract

Today, the method of financing, control and corporate governance are the most important topics of corporate governance. This study aims the relation between corporate governance and methods of financing and profitability in the companies listed in the Tehran Stock Exchange for the period 1382 to 1392. The statistical population included in all listed companies in the Tehran Stock Exchange. the EXCELL and SPSS software's was used to analyze the data and Pearson correlation coefficients used to calculate the concentration of ownership and different levels of that and its relation to the mean capital as a criterion of firm size and methods of financing. In the first research hypothesis is not confirmed and there is not significant relationship between firm size and ownership concentration. The second research hypothesis is not confirmed and there is not significant relationship between profitability and ownership concentration. The third research hypothesis is not confirmed and there is not significant relationship between profitability and the firm's sizes. The fourth research hypothesis is not confirmed and there is not significant relationship between ownership concentration and Methods of financing. Finally in fifth hypothesis between none of the financing methods in firms and their size is not a significant relationship.

Keywords

Corporate governance, methods of financing, profitability, Tehran Stock Exchange