Financing constraints, major business performance, and return on financial assets

Haibo Jia and Ming Zhang

Finance Research Letters, 2024, vol. 66, issue C

Abstract: This study systematically examines the relationship between financing constraints and the return on corporate financial assets based on data from Chinese listed companies from 2012 to 2022. It found a positive correlation between the risk and return of financial asset portfolios; higher risk leads to higher return. Firms with fewer financing constraints have better returns on financial assets. A decrease in return on a firm's operating assets often coincides with an increase in return on financial assets.

Keywords: Return on financial assets; Financial assets risk; Central business performance; Financing constraints (search for similar items in EconPapers)
Date: 2024
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S1544612324006834
Full text for ScienceDirect subscribers only

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:finlet:v:66:y:2024:i:c:s1544612324006834

DOI: 10.1016/j.frl.2024.105653

Access Statistics for this article

Finance Research Letters is currently edited by R. Gençay

More articles in Finance Research Letters from Elsevier
Bibliographic data for series maintained by Catherine Liu ().