Work

Determinants of corporate cash holding: evidence from UK listed firms

Year: 2018

Type: article

Abstract: Our paper revisits the determinants of company cash holding.It attempts to explain the cash holding behavior of firms' managers by investigating non-financial companies listed on the London Stock Exchange from 2011 to 2016.Our results indicate that firm size, leverage, cash flow, cash flow volatility, and investment opportunity exert influence on such cash holding behavior.It can be explained by the tradeoff theory, the pecking-order theory and free cash flow theory.Our results may shed light on the decrease in the cash holding level for the post-crisis period.

Source: Business and Economic Horizons

DOI: 10.15208/beh.2018.40

Authors: Duc Hoang Le, Phi Long Tran, Thu Phuong Ta, Duy Minh Vu

Institution: National Economics University

Language: English

Topic: Corporate Finance and Governance

Subfield: Finance

Field: Economics, Econometrics and Finance

Domain: Social Sciences

Open Access status: bronze

OpenAlex ID: W2885089778

FWCI: 3.619

Cites: 22

Cited by: 23

Related to: 10