MANAGERIAL OWNERSHIP IDENTITY AND RETURN ON EQUITY OF LISTED DEPOSIT MONEY BANKS IN NIGERIA

Abstract

This study investigated the effect of managerial ownership identity on return on equity of listed deposit money banks in Nigeria. The study employed an ex-post facto research design. The population of the study was fourteen (14) listed deposits money banks in the Nigerian Exchange Group and ten (10) listed deposit money banks was used as sample size employing purposive sampling technique. The data used in the study was secondary data and it was sourced from annual reports and statement of accounts of the selected firms between 2016 and 2023. The study utilized descriptive statistics, unit root test, diagnostic tests, Hausman Test and Panel Least Square (PLS) regression technique with the help of E-view 10 while the Moderated Multiple Regression (MMR) techniques were used for the purpose of moderating variable analysis with the help of SPSS. The results revealed that the effect of managerial ownership identity on return on equity of listed deposit money banks in Nigeria is positive. The study generally concluded that the effect of managerial ownership identity on return on equity of the studied deposit money banks (DMBs) is positive and insignificant for the time frame investigated. The study recommends amongst other that the managerial investors should have a long-term investment horizon, which aligns with the goal of improving return on equity over time.