Board characteristics and credit-union performance

Unda, Luisa A. ; Ahmed, Kamran ; Mather, Paul R.

DOI:	https://doi.org/10.1111/acfi.12308
URL:	https://onlinelibrary.wiley.com/doi/10.1111/acfi.1...
Weitere URL:	https://papers.ssrn.com/sol3/papers.cfm?abstract_i...
Dokumenttyp:	Zeitschriftenartikel
Erscheinungsjahr:	2019
Titel einer Zeitschrift oder einer Reihe:	Accounting and Finance
Band/Volume:	59
Heft/Issue:	4
Seitenbereich:	2735-2764
Ort der Veröffentlichung:	Richmond, Vic.
Verlag:	Wiley-Blackwell
ISSN:	0810-5391 , 1467-629X
Sprache der Veröffentlichung:	Englisch
Einrichtung:	Fakultät für Betriebswirtschaftslehre > ABWL u. Corporate Finance (Maug 2006-)
Fachgebiet:	330 Wirtschaft
Fachklassifikation:	JEL: G21 , G34 , G38,
Freie Schlagwörter (Englisch):	Board characteristics , credit unions , democratic governance , financial performance , member benefit
Abstract:	We examine the role of board characteristics on the performance of Australian credit unions during the period 2004–2012. Credit unions are unique as they are member-owned institutions, and their directors are democratically elected by their members – an unusual governance structure that poses challenges for board effectiveness. We find that board remuneration, board expertise and attendance at meetings are associated with increased credit-union performance and are consistent with the goal of maximising member benefits. While the unique features of credit unions limit the presence of external monitoring mechanisms, we provide evidence that these board characteristics are relevant for credit unions.